ways and means to involve civil society in the eu cohesion policy 2014-2020

7/31/2019 Ways and means to involve civil society in the EU Cohesion Policy 2014-2020

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Ways and means to involve civil society in the EU Cohesion Policy 2014-2020

Analysis of the proposals for the future Structural Funds

Author: Anna Romaoczyk

Editor: Tony Venables

ISBN: 2 -87451-019-X

All rights reserved. No part of this publication may be reproduced, stored on a retrieval system,

or transmitted in any form or by any means, electronic, mechanical, photocopying, recording

or otherwise, without the prior written permission of the author.

Copyright of ECAS ECAS2012


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Table of Contents

1. General Introduction to EU funds for the period 2014-2020 .............................................................. 5

1.1. From the 2007-2013 to the 2014-2020 cycle ............................................................................... 6

Process of negotiation on the new regulation and main sources ................................................... 9

1.2. Europe 2020 Strategy objectives ................................................................................................ 11

1.3. Simplification .............................................................................................................................. 13

1.4. Conditionalities ........................................................................................................................... 15

2. How to make use of the EU future Cohesion Policy? ........................................................................ 18

2.1. Social innovation and civil society organisations in the future EU funds ................................... 18

2.2. European Social Fund ................................................................................................................. 19

2.3. The importance of partnership .................................................................................................. 22

Technical assistance ...................................................................................................................... 27

Monitoring committees and their role .......................................................................................... 28

2.4. Local community development .................................................................................................. 30

3. Simplified financial management ...................................................................................................... 34

3.1. Simplified financial regulations .................................................................................................. 34

Pre-financing ................................................................................................................................. 35

Audits ............................................................................................................................................. 35

In kind contribution ....................................................................................................................... 36Flat rate financing and simplified cost options ............................................................................. 37

Conclusions ............................................................................................................................................ 40

Annex ................................................................................................................................................. 43

Bibliography ....................................................................................................................................... 44


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1. General Introduction to EU funds for

the period 2014-2020

The EU Cohesion Policy, sometimes called in the broader context the European Regional Policy,

consists of two main parts: the Structural Funds and the Cohesion Fund. These financial instruments

collectively aim to reduce disparities in development and promote economic, social and territorial

cohesion in the European Union.

The Structural Funds include:

The European Regional Development Fund (ERDF) contributing mainly to assisting the

regions whose development is lagging behind and those undergoing economic conversion orexperiencing structural difficulties;1

The European Social Fund (ESF) devoted to promoting employment in the EU with the view

to reducing differences in prosperity and living standards across EU Member States and

regions, and therefore to promoting economic and social cohesion;2

The European Agricultural Guidance and Guarantee Fund (EAGGF) helping both the

development and adjustment of rural areas that are failing behind in terms of improvements

in efficiency of their production, processing and marketing structures for agricultural and

forest products;

The Financial Instrument for Fisheries Guidance (FIFG) supporting the restriction in the

fisheries sector.

The Cohesion Fund is separate from the Structural Funds, though it has similar objectives. It aims to

reduce the economic and social shortfall of those Member States which Gross National Income (GNI)

per inhabitant is less than 90% of the EU average. It finances activities under the headings f trans-

Eurpean transprt netwrks (TEN-T) and the envirnment which can include supprting prjects

related to energy or transport.

Although we are still in the programming period 2007-2013, the legislative proposal for the next

programming period 2014-2020 is already under negotiation in the EU institutions. As for civil society

organisations the most relevant are the European Regional Development Fund and the EuropeanSocial Fund, this analysis will focus on the legislative regulation for these two funds.

Our aim is to give an overview of changes introduced in the new proposal in order to prepare future

beneficiaries of EU funds to make the best use of them. Particular attention will be paid to increased

role of partnership between Member States and social and economic partners as well as regional and

local authorities. We will also present measures taken to simplify financial management of projects.

Some useful ECAS tips are included in every chapter in order to help to understand better what

actions need to be taken by civil society organisations and other partners.

1European Commission, DG Regional Policy website:http://ec.europa.eu/regional_policy/thefunds/regional/index_en.cfm2http://ec.europa.eu/regional_policy/thefunds/social/index_en.cfm
http://ec.europa.eu/regional_policy/thefunds/regional/index_en.cfmhttp://ec.europa.eu/regional_policy/thefunds/regional/index_en.cfmhttp://ec.europa.eu/regional_policy/thefunds/social/index_en.cfmhttp://ec.europa.eu/regional_policy/thefunds/social/index_en.cfmhttp://ec.europa.eu/regional_policy/thefunds/social/index_en.cfmhttp://ec.europa.eu/regional_policy/thefunds/social/index_en.cfmhttp://ec.europa.eu/regional_policy/thefunds/regional/index_en.cfm


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The access to EU funds may seem to be a challenge for many civil society organisations. The amount

of documents required for every call for proposals, financial certificates, statements, forms and other

documents, finally the differences between every procedure of accessing EU funds may seem to be

an obstacle impossible to be eliminated. The European Commission in cooperation with other EU

institutions is making efforts to make these procedures more clear and accessible for potential

beneficiaries of EU funds. However, the changes will not be done without any commitment of civil

society organisations, regional and local authorities and national governments. All partners have to

work together.

The time to advocate for the changes in the future Cohesion Policy is now.

1.1. From the 2007-2013 to the 2014-2020 cycle

Mre grwth and jbs fr all regins and cities f the Eurpean Unin that was the main purpose

of Cohesion Policy and its instruments between 2007 and 2013. After two successive enlargements,

in 2004 and 2007, it was a difficult task to make the European Union more coherent. The investment

prvided fr that perid was t achieve 308 billin (in 2004 prices) t support regional growth

agendas and to stimulate job creation. 82% of this total amount is concentrated on the

Cnvergence bjective, addressed t the prest Member States and regins. Abut 16% f the

Structural Funds is concentrated to support innovation, sustainable development, better accessibility

and training prjects under the Reginal Cmpetitiveness and Emplyment bjective. Anther

2.5% are available for cross-brder, transnatinal and interreginal cperatin under the EurpeanTerritorial Cperatin bjective. Certain spending targets have been agreed upn t pursue the

objectives of the Growth and Jobs Agenda: in the case f the Cnvergence bjective, the target is

60%, and in the case f the Reginal Cmpetitiveness and Emplyment objective the target is 75%

of the total available funding.Currently, in the middle of 2012, it is time to sum up and think about the future.

What are the perspectives for the period 2014-2020?

The Cohesion Policy for the period 2014-2020 sets out two goals to be achieved by the new

structural funds: 'Investment for growth and jobs' in Member States and regions, which is to be

supported by all the funds and 'European territorial cooperation', which is to be supported by the

ERDF.3

By the end of 2012 the EU Member States aim to complete the negotiations on the Multiannual

Financial Framework for 2014-2020. This is a multiannual spending plan that translates into financial

terms the Unins plicy pririties. It sets limits n Eurpean Unin expenditure over a fixed period

and imposes budgetary discipline. It also sets annual maximum amounts of commitments for the

3Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL laying down common provisions on

the European Regional Development Fund, the European Social Fund, the Cohesion Fund, the European Agricultural Fund

for Rural Development and the European Maritime and Fisheries Fund covered by the Common Strategic Framework andlaying down general provisions on the European Regional Development Fund, the European Social Fund and the CohesionFund and repealing Regulation (EC) No 1083/2006, 06.10.2011, article 81


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main categories of expenditure and an overall payments ceiling of EUR 1,033 billion euro for the MFF

2014-2020.4 According to the documents5 already published by the Commission, the total proposed

budget for the Cohesion Policy 2014-2020 will be EUR 376 billion, including funding for the new

Connecting Europe Facility, which is designed to enhance cross-border projects in energy, transport

and information technology.

The new structural funds regulations will not be adopted until agreement has been reached on the

Multiannual Financial Framework (MFF). For the first time, the regulations will need to be adopted in

accordance with the standard decision-making procedure, which will strengthen the role of the

European Parliament compared to earlier.

When the new legislative package was published, Johannes Hahn, Commissioner for Regional Policy

commented:"Cohesion policy has already contributed a lot to building prosperity in the EU. But

given the economic crisis, it must now become a motor for growth and competitiveness. Our

proposals will make EU funds work even harder. By targeting investments on the keys to growth

Small- and Medium-Sized Enterprises (SMEs), innovation, energy efficiency - we will achieve a greaterimpact. And we are modernising the policy with conditions to ensure performance and results,

incentives for those who deliver most effectively, and simplified procedures."6

There are many questions to be answered: whether there will be new sources of income for the EU

budget and whether the European Union, in the midst of economic and financial crisis, is ready to

support its ambitious objectives as set out in the EU 2020 strategy? Will there be financial support

for the new tasks included in the Lisbon Treaty? What will change in traditional policy areas, such as

the regional policy? These and other issues will be discussed in the coming year, when EU countries

and the European Parliament have to agree on the EU's financial framework for 2014-2020.

The new draft proposal of the general regulations for European Regional Development Fund,European Social Fund, Cohesion Fund, European Agricultural Fund for Rural Development and

European Maritime and Fisheries Fund for the period 2014-2020 was published on 6 th October 2011.

The proposal was welcomed by most civil society organisations, who acclaimed the introduction of

new simplified financial rules and the promising involvement of social partners and organisations into

the process of designing the code of conduct and the partnership contracts.

The proposal was a major subject for public discussion during Open Days 2011, held in Brussels on

10-13th October and during the conference on EU Multiannual Framework on 20-21 st October, where

many representatives of the European Commission and Member States were present.

Representatives of regions, cities and civil society organisations also took part in workshops andmeetings and exchanged their knowledge and experience.

The legislative architecture for Cohesion Policy 2014-2020 comprises:

an verarching regulatin setting out common rules for the European Regional Development Fund

(ERDF), the European Social Fund (ESF), the Cohesion Fund, the European Agricultural Fund for Rural

4Multiannual Financial Framework updated by the Commission on 6 July 2012:http://ec.europa.eu/commission_2010-

2014/lewandowski/library/documents/i12_Update_of_MFF_en.pdf

5Surce: Chesin Plicy 2014 2020. Investing in growth and jbs, Eurpean Cmmissin, Directrate General frRegional Policy, http://ec.europa.eu/inforegio6Press release no.IP/11/1159, 06/10/2011
http://ec.europa.eu/commission_2010-2014/lewandowski/library/documents/i12_Update_of_MFF_en.pdfhttp://ec.europa.eu/commission_2010-2014/lewandowski/library/documents/i12_Update_of_MFF_en.pdfhttp://ec.europa.eu/commission_2010-2014/lewandowski/library/documents/i12_Update_of_MFF_en.pdfhttp://ec.europa.eu/commission_2010-2014/lewandowski/library/documents/i12_Update_of_MFF_en.pdfhttp://ec.europa.eu/commission_2010-2014/lewandowski/library/documents/i12_Update_of_MFF_en.pdfhttp://ec.europa.eu/commission_2010-2014/lewandowski/library/documents/i12_Update_of_MFF_en.pdf


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Development (EAFRD), the European Maritime and Fisheries Fund (EMFF), and further general rules

for the ERDF, ESF and Cohesion Fund;

three specific regulatins fr the ERDF, the ESF and the Cohesion Fund;

and two regulations on the European territorial cooperation goal and the European Grouping ofTerritorial Cooperation (EGTC).

What is very important is the fact that the new legislative package joins together regulations

concerning all structural funds and provides beneficiaries with comprehensive information, whereas

in the current period, 2007 - 2013, the lack of comprehensive legislative rules gathered in one

document only is quite significant. The Commission strongly underlines the overarching character of

the new proposal and the Eurpean Parliament is very much in favur f this ne -dcument

approach. It aims at making the use of EU funds much easier and more accessible for future

beneficiaries.

Certain quotas reserved for the European Social Fund are a new idea, strongly supported by civil

society organisations, for which the ESF is the main source of EU funds. This idea is explained in the

introduction to ESF regulation:

With the aim f enhancing the ability f the Funds t deliver n the headline

targets of the Europe 2020 strategy, the present proposal establishes minimumshares for the ESF for each category of regions defined in the proposal for aGeneral Regulation. This results in a minimum overall share for the ESF of 25 % ofthe budget allocated to cohesion policy (excluding the allocation to the ConnectingEurope Facility), i.e. EUR 84 billion. The indicated minimum ESF allocation includesthe budget (EUR 2.5 billion) for a forthcoming Commission proposal regarding food

supprt fr the mst deprived persns.7

Before the legislative package was prepared, several analysis and reports had been published. To

understand the whole process of designing the future Cohesion Policy it is necessary to have a closer

look at them.

The report "An Agenda for a reformed cohesion policy", prepared by Fabrizio Barca in April 2009 at

the request of Danuta Hbner, Commissioner for Regional Policy of that time, gave an important

input for further preparations of the new legislative package. Fabrizio Barca was a Director-General

at the Italian Ministry of Economy and Finance and he had previously been the President of the OECD

Territorial Policies Committee. Not all of his ideas were put into practice, but at least some of them

are reflected in certain aspects of the proposal.

As Fabrizio Barca stated in his report, the funding should focus on three or four core priorities. He

also defined what objectives should be set for the new Cohesion Policy.

The chice f the cre pririties shuld result frm a high-level political debate,

but six possible candidates, discussed in some detail in the Report, are: innovation

and climate change, with a largely ecnmic (efficiency) bjective; migration and

children, with a predminantly scial (scial inclusin) bjective and skills and

7Proposal for a Regulation of the European Parliament and of the Council on the European Social Fund and repealing

Regulation (EC) No 1081/2006, p.5


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ageing, where the two objectives are of similar importance. For most of these, the

EU has already developed a body of knowledge and expertise for setting the

institutinal principles and the indicatrs fr plicy implementatin.8

Although the new regulation does not fully respond to Fabrizio Barcas ideas, several solutions to

some extent are referring to what he stated in 2009, e.g. the stress on limiting the number ofpriorities and the general set of issues covered by new EU funds.

Objectives defined in the new regulation for structural funds (article 9) are covering most of the

above mentioned core priorities, but more emphasis should be put on social objectives, including

social innovation in point (1) and supporting the dialogue between public administration and civil

society at point (11).

In July 2010 the Eurpean Ecnmic and Scial Cmmittee adpted Jan Olssns pinin Hw t

foster efficient partnership in the management of cohesion policy programmes, based on good

practices from 2007-2013 cycle, t which the new legislative package refers in a significant number

of suggested solutions.9

Process of negotiation on the new regulation and main sources

Adopting the new legislative package for Cohesion Policy becomes an urgent matter since time until

2014 is getting short. The timeline for the process of adoption presented by the European

Commission is as follows:

- in June 2011 first proposal for Multiannual Financial Framework was presented;

- in October 2011 the package for Cohesion Policy (CSF Funds) was announced to the public;

- in February 2012 the Commission published the communication "A simplification agenda for the

2014-2020 MFF"10, which explains how simplification measures will be put into practice;11

- in March 2012 the first proposal for the Common Strategic Framework (CSF) was presented by the

Commission; the CSF will be adopted in final form only once the legislative package on Cohesion

Policy Funds for the next Multiannual Financial Framework proposed on 6th October 2011 has been

agreed by the European Parliament and the Council;12

- in April 2012 the Commission Staff Working Document The partnership principle in theimplementation of the Common Strategic Framework Funds - elements for a European Code ofConduct on Partnership13 was published; the Code of Conduct for Partnership Agreements betweenthe European Commission and each Member State is going to be prepared in the following months of2012;

8An Agenda for a reformed Cohesion Policy, F. Barca, p. VIII

9Jan Olsson is a Member of the European and Social Committee, currently also Co-President of the European Network of

Cities and Regions for the Social Economy (REVES) and Vice-President of the European Confederation of cooperatives andworker-owned enterprises active in industry and services (CECOP).10

http://ec.europa.eu/budget/biblio/documents/fin_fwk1420/fin_fwk1420_en.cfm#simplification11

http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2012:0042:FIN:EN:PDF12

http://europa.eu/rapid/pressReleasesAction.do?reference=IP/12/236&format=HTML&aged=0&language=EN&guiLanguage=en13

http://ec.europa.eu/esf/main.jsp?catId=3&langId=en#opt7
http://ec.europa.eu/budget/biblio/documents/fin_fwk1420/fin_fwk1420_en.cfm#simplificationhttp://ec.europa.eu/budget/biblio/documents/fin_fwk1420/fin_fwk1420_en.cfm#simplificationhttp://ec.europa.eu/budget/biblio/documents/fin_fwk1420/fin_fwk1420_en.cfm#simplificationhttp://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2012:0042:FIN:EN:PDFhttp://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2012:0042:FIN:EN:PDFhttp://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2012:0042:FIN:EN:PDFhttp://europa.eu/rapid/pressReleasesAction.do?reference=IP/12/236&format=HTML&aged=0&language=EN&guiLanguage=enhttp://europa.eu/rapid/pressReleasesAction.do?reference=IP/12/236&format=HTML&aged=0&language=EN&guiLanguage=enhttp://europa.eu/rapid/pressReleasesAction.do?reference=IP/12/236&format=HTML&aged=0&language=EN&guiLanguage=enhttp://europa.eu/rapid/pressReleasesAction.do?reference=IP/12/236&format=HTML&aged=0&language=EN&guiLanguage=enhttp://ec.europa.eu/esf/main.jsp?catId=3&langId=en#opt7http://ec.europa.eu/esf/main.jsp?catId=3&langId=en#opt7http://ec.europa.eu/esf/main.jsp?catId=3&langId=en#opt7http://ec.europa.eu/esf/main.jsp?catId=3&langId=en#opt7http://europa.eu/rapid/pressReleasesAction.do?reference=IP/12/236&format=HTML&aged=0&language=EN&guiLanguage=enhttp://europa.eu/rapid/pressReleasesAction.do?reference=IP/12/236&format=HTML&aged=0&language=EN&guiLanguage=enhttp://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2012:0042:FIN:EN:PDFhttp://ec.europa.eu/budget/biblio/documents/fin_fwk1420/fin_fwk1420_en.cfm#simplification


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- the Multiannual Financial Framework is scheduled for discussion in the European Council on thesession in June 2012;

- an agreement on Multiannual Financial Framework and adoption of the new legislative package for

Cohesion Policy is to be concluded by the end of 2013;

- the legislative package should enter into force in 2014.

Now, in the middle of 2012, the legislative package is awaiting the first reading in the Parliament.

The Parliaments cmmittee respnsible fr the legislative prpsal is the Cmmittee n Reginal

Development (REGI) and the main rapporteurs are Lambert Van Nistelrooij and Constanze Angela

Krehl.

There are several committees for opinion: Budgets (BUDG), Budgetary Control (CONT) with Derek

Vaughan as rapporteur, Economic and Monetary Affairs (ECON) with Nikolaos Chountis as

rapporteur, Employment and Social Affairs (EMPL) with dm Ksa as rapporteur, Environment,

Public Health and Food Safety (ENVI) with Sophie Auconie as raporteur, Industry, Research and

Energy (ITRE) with Patrizia Toia as rapporteur, Transport and Tourism (TRAN) with Michael Cramer as

rapporteur, Agriculture and Rural Development (AGRI) with Salvatore Caronna as rapporteur,

Fisheries (PECH) with Jean-Paul Besset as rapporteur, Culture and Education (CULT) with Marika

Benarab-Attou, Wmens Rights and Gender Equality (FEMM) with Ilda Figueiredo and Ins Cristina

Zuber as rapporteurs.

The European Economic and Social Committee and the Committee of the Regions are also consulted

on this proposal, in accordance with Rule 124(1) and Rule 125(1). Their opinions were presented in

spring 2012.14

The Parliaments Cmmittee n Reginal Develpment held already several meetings in Octber,

November and December 2011 with the presence and involvement of the two co-rapporteurs. In

spring 2012 further work was done in relevant committees of the Parliament resulting in draft

opinions and reports, which point out the weaknesses and underline the strong aspects of the new

legislative proposal. Each committee presented their recommendations and suggested amendments

to the initial text.15 The legislative proposal is awaiting first reading in the Parliament. Voting in some

of the committees, e.g. Committee on Regional Development was scheduled for mid-July 2012.

Although all EU institutions recognise the importance of adaptation of the new legislative package

for the period 2014-2020, several issues need to be specified and discussed between theCommission, European Parliament, the Council and Member States, what may affect the

preparations and the timeline described above.

At the level of Member States discussions are going on intensively and analyses of the new

regulations are already being conducted. Therefore it is very important that the representatives of

social and economic partners and civil society organisations are fully involved in the process of

establishing future partnership, with no further delay.

14EESC opinion on Structural Funds General Provisions:http://www.eesc.europa.eu/?i=portal.en.eco-opinions.22400;

COR opinions:http://cor.europa.eu/en/news/pr/Pages/european-regions-cities-set-agenda-successful-cohesion-policy-2014-2020.aspx15

All dcuments are available n Eurpean Parliaments website:www.europarl.europa.eu
http://www.eesc.europa.eu/?i=portal.en.eco-opinions.22400http://www.eesc.europa.eu/?i=portal.en.eco-opinions.22400http://www.eesc.europa.eu/?i=portal.en.eco-opinions.22400http://cor.europa.eu/en/news/pr/Pages/european-regions-cities-set-agenda-successful-cohesion-policy-2014-2020.aspxhttp://cor.europa.eu/en/news/pr/Pages/european-regions-cities-set-agenda-successful-cohesion-policy-2014-2020.aspxhttp://cor.europa.eu/en/news/pr/Pages/european-regions-cities-set-agenda-successful-cohesion-policy-2014-2020.aspxhttp://cor.europa.eu/en/news/pr/Pages/european-regions-cities-set-agenda-successful-cohesion-policy-2014-2020.aspxhttp://www.europarl.europa.eu/http://www.europarl.europa.eu/http://www.europarl.europa.eu/http://www.europarl.europa.eu/http://cor.europa.eu/en/news/pr/Pages/european-regions-cities-set-agenda-successful-cohesion-policy-2014-2020.aspxhttp://cor.europa.eu/en/news/pr/Pages/european-regions-cities-set-agenda-successful-cohesion-policy-2014-2020.aspxhttp://www.eesc.europa.eu/?i=portal.en.eco-opinions.22400


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The new legislative package covers many fields of activity of the European Union. For the purpose of

this publication attention will be paid to three aspects, which are the key for development of civil

society and social partners in all EU Member States. These are: Europe 2020 Strategy objectives, as

this strategy is a founding document for the EU actions and activities in the following years; the issue

of simplification, as the Commissins prpsal helps to solve many of the ordinary beneficiarys

problems; partnership, local community development and local action groups, as bottom-up

initiatives in social issues-related activities bring the best results.

1.2. Europe 2020 Strategy objectives

The EU 2020 strategy can be seen as the Eurpean Unins cmprehensive plan fr the cming

decade, as it was defined by the Eurpean Cmmissin. The strategys aim is t respnd t the crisis

and speed up Eurpes ecnmic grwth. It aims at achieving a European economy that is:

- smart, which means improving the EU performance in education, research/innovation, digital

society;

- sustainable, which means building a more competitive low-carbon economy, protecting the

environment, developing new green technologies, improving the business environment and helping

consumers make well-informed choices;

- inclusive, which means raising Eurpes emplyment rate, helping peple f all ages anticipate and

manage change through investment in skills and training, modernising labour markets and welfare

systems, ensuring the benefits of growth reach all parts of the EU.

The proposal for a regulation laying down common provisions on structural funds underlines the link

between EU 2020 strategy and projects financed through EU funds:

ECAS tip: Think European

In the run-up to putting in place EU Cohesion policy and programmes for 2014-2020, it will make sense for civil

society organisations to think European and argue their European objectives. In the draft proposals for the funds of

6 October 2011 and the guidelines for a Common Strategic Framework of 14 March 2012, the European Commission

spells out the objectives of the funds linked to the Europe 2020 Strategy aim of smart, sustainable and inclusivegrowth, which member states should reflect in their partnership contracts and national reform programmes. If these

proposals are accepted by the Council of the European Union, civil society will have more European, not just

national space, to argue its own vision and contribution to the funds. In the new reformed funds, it will be more

difficult for national authorities to reject European aspects. In turn with this concentration on European priorities,

the two main funds regional and social will also come closer together, since both are there to serve a set of

European priorities. Civil society is often ahead of many government departments, local authorities and even

commercial interests in advocating European solutions.


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T be able t deliver greater Eurpean added value, the structural prgrammes

need to both: a) concentrate their support on EU priorities and b) coordinate with

other EU policies and financial instruments. The Europe 2020 Strategy provides a

clear set of common objectives, including headline targets and flagship initiatives,

as a clear framewrk fr identificatin f funding pririties.16

In order to respond to EU 2020 objectives, the European Commission has defined in the new

regulation on structural funds eleven thematic objectives that will play an important role in the

process of implementation. An exhaustive list of thematic objectives is given in article 9 of the

proposal:

Thematic bjectives

Each CSF Fund shall support the following thematic objectives in accordance with

its mission in order to contribute to the Union strategy for smart, sustainable and

inclusive growth:(1) strengthening research, technological development and innovation;

(2) enhancing access to, and use and quality of, information and communication

technologies;

(3) enhancing the competitiveness of small and medium-sized enterprises, the

agricultural sector (for the EAFRD) and the fisheries and aquaculture sector (for the

EMFF);

(4) supporting the shift towards a low-carbon economy in all sectors;

(5) promoting climate change adaptation, risk prevention and management;

(6) protecting the environment and promoting resource efficiency;

(7) promoting sustainable transport and removing bottlenecks in key network

infrastructures;

(8) promoting employment and supporting labour mobility;

(9) promoting social inclusion and combating poverty;

(10) investing in education, skills and lifelong learning;

(11) enhancing institutional capacity and an efficient public administration.

Thematic objectives shall be translated into priorities specific to each CSF Fund and

set out in the Fund-specific rules.17

Among these eleven objectives the following are particularly important for civil society organisations:

- Enhancing access and use of information and communication technologies- Protecting the environment and promoting resource efficiency- Promoting: employment and social inclusion, supporting labour mobility and combating

poverty

- Investing in educatin, skills development and lifelong learning process16

Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL laying down common provisions on

the European Regional Development Fund, the European Social Fund, the Cohesion Fund, the European Agricultural Fund

for Rural Development and the European Maritime and Fisheries Fund covered by the Common Strategic Framework and

laying down general provisions on the European Regional Development Fund, the European Social Fund and the Cohesion

Fund and repealing Regulation (EC) No 1083/2006, 06.10.2011, p.417Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL laying down common provisions on

the European Regional Development Fund, ..., p. 35


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Europe 2020 Strategy objectives are also mentioned in other parts of the general regulation. For

example, the Commission has assured that Partnership Contracts between the Commission and each

Member State will respect the objectives of Europe 2020 Strategy by referring to them in the

Common provisions governing all CSF Funds, point 5.1.2.:

Partnership Cntracts between the Cmmission and each Member State will set

out the commitments of partners at national and regional level and the

Commission. They will be linked to the objectives of the Europe 2020 Strategy and

the Natinal Refrm Prgrammes.18

Attention of EU institutions, mainly the European Commission, is focused on better delivery of

Cohesion Policy in the upcoming financial perspective. Ways and means how to do that are very

often discussed during meetings and conferences and this is why the Commission decided to stress

the necessity of setting fewer objectives to make sure that the funds are used in a more responsible

way and give better results.

1.3. Simplification

Making rules simpler is one of the targets of the European Commission for the new financial

perspective and this may have a great impact n EU funds efficiency since mre beneficiaries wuld

be encouraged to benefit from available resources. The issue of simplification remains not only a

strictly technical question, but it also has a strategic importance for future development of EU funds.

The representatives of the European Commission, including Johannes Hahn, foresee the need forsimplification and prove they understand current obstacles that beneficiaries must face in order to

access EU funds. They have taken certain actins t make beneficiaries life easier: The

administrative burden will also be reduced by introducing electronic data exchange systems for fund

management allowing also for the possibility (not an obligation) for the beneficiaries to use

electronic systems. Lighter reporting requirements are also being introduced, says Johannes

Hahn.19 The committees of the European Parliament also express their strong support for simplifying

the procedures.20

The answer to a strong demand for simplification is given on the very first pages of the new

regulation. The Commission agrees that the delivery system of EU funds should be as simple andstreamlined as possible to ensure efficient implementation and reduce difficulties for beneficiaries.

The question of simplification of the rules is one of the most interesting for beneficiaries, as it will

make use of funds easier. Some changes are announced already in one of the first paragraphs of the

new regulation:


the European Regional Development Fund,... , p.819

Priorities for Cohesion Policy: concentrating efforts and investments, Informal Ministerial Meeting Poznan, 24 November2011

20 Please see: Draft opinion of the Committee on Budgets on the proposal...,http://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fEN#
http://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fEN


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Experience suggests that in the current programming period, the diversity and

fragmentation of rules governing spending programmes are often perceived as

unnecessarily complicated and difficult to implement and control. This imposes a

heavy administrative burden on beneficiaries as well as on the Commission and

Member States, which can have the unintended effect of discouraging

participation, increasing error rates and delaying implementation. This means thatthe potential benefits of EU programmes are not fully realised.

21

This information is positive for all beneficiaries, not only CSOs. The Commission is going to put more

stress on the use of modern technologies, such as IT programmes, including storage of documents in

electronic versions. At the beginning it may pose some difficulties in different Member States in the

short-term perspective, but it should bring improvements in the medium-term.

Electrnic data management can be a majr surce f reductins in administrative

burden and at the same time increase the controllability of projects and

expenditure. It is therefore proposed to require all Member States to set upsystems by the end of 2014 to enable beneficiaries to submit all information by

way f electrnic data exchange.22

How to keep the balance between proper control of implementing EU funds and diminishing

administrative burden? The EU institutions and implementing authorities in Member States will try to

find an answer to this question in the nearest future.

A paragraph describing how simplification rules are going to work is included in the text of the

general regulation:

The management and cntrl systems must als ensure the preventin anddetection of irregularities, including fraud, and thus reasonable assurance on the

regularity of expenditure. At the same time the delivery system should be as simple

and streamlined as possible to ensure efficient implementation and the reduction

f administrative burden fr beneficiaries.23

Further development of the issue of simplification:

Emphasis has therefre been placed n measures t ensure that administrative

costs are proportionate and that the administrative burden associated with the

management of EU funds by beneficiaries is reduced. The aim is to harmonise, to

the extent possible, these basic rules for instruments implemented under shared

management, in order to reduce the multiplicity of rules applied on the ground.

Simplified costs options such as flat rates and lump sums provide the means for

Member States to introduce performance-oriented management at the level of

individual peratins.24


the European Regional Development Fund, ...22Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL laying down common provisions onthe European Regional Development Fund, ..., p. 1223


the European Regional Development Fund, ..., p. 524Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL laying down common provisions on



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Several voices came up during the discussion over the new regulation on Open Days 2011 workshops

arguing that it is not possible to establish a common set of rules for every policy. Certainly, due to its

specificity, each EU policy needs some more detailed rules, but the general proposal, as it is

mentioned in the text (see below), shall provide some common solutions, which should be simple

and comprehensive at the same time. The EP committees also welcome the general proposal as a

sign for making the use of EU funds more accessible for beneficiaries.

With a view t simplifying the use f the CSF Funds and reducing the risk f errrs,

while providing for differentiation where needed to reflect the specificities of

policy, it is appropriate to define the forms of support, harmonized conditions of

reimbursement of grants and flat rate financing, specific eligibility rules for grants

and specific conditions on the eligibility f peratins depending n lcatin.25

The above-described issues seem to respond to the huge necessity of introducing more simplified

rules. Many beneficiaries of currently implemented EU funds will agree that simplifying the rules isone of the key-questins in rder t make better use f the funds: Simplificatin is imperative in

order to enhance the positive impact of programmes, notably for projects involving smaller players.

Controls on projects must be rationalised. Financial payments to such players must be better

facilitated and speeded up through pre-financing and payments made in due time.26

1.4. Conditionalities

To reinforce performance, new conditionality provisions will be introduced to ensure that EU funding

creates strong incentives for Member States to deliver Europe 2020 objectives and targets.

Cnditinality will take the frm f bth ex ante cnditins that must be in place befre funds are

disbursed and 'ex post' conditions that will make the release of additional funds contingent on

performance.

'Ex post' conditionality will be based on the achievement of milestones related to targets for outputs

and results linked to Europe 2020 objectives set for programmes in the partnership contract. 5% of

the budget of the relevant funds will be set aside and allocated, during a mid-term performance

review, to the Member States whose programmes have met their milestones. In addition to the

performance reserve, failure to achieve milestones may lead to the suspension of funds, and aserious underachievement in meeting targets for a programme may give rise to a cancellation of

funds.27

This aspect of the new regulation raises concern among Member States. To many of them it is

obvious that EU funds distribution should be based on performance and efficiency, but in certain

countries this clause is a reason to object to the new rules. The issue of conditionality raises also



European Economic and Social Committee: Hw t fster efficient partnership in the management f

cohesion policy programmes, based on good practices from 2007-2013 cycle27Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL laying down common provisions onthe European Regional Development Fund, ..., p. 8


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contradictory opinions within the committees of the European Parliament, who, like the Committee

on Budgets, support the introduction of the ex-ante and ex-post conditionality28, or like the

Cmmittee n Wmens Rights and Gender Equality, reject it as a tl affecting the most vulnerable

groups of the society.29

Certainly, the issue of conditionalities raises many doubts and is being questioned during many

discussions concerning the future shape of Cohesion Policy, both by the civil society organisations

and other social partners, and the European Economic and Social Committee.

'Ex pst' cnditinality will strengthen the fcus n perfrmance and the

attainment of the Europe 2020 objectives. It will be based on the achievement of

milestones related to targets for outputs and results linked to Europe 2020

objectives set for programmes in the partnership contract. 5% of the budget of the

relevant funds will be set aside and allocated, during a mid-term performance

review, to the Member States whose programmes have met their milestones. In

addition to the performance reserve, failure to achieve milestones may lead to thesuspension of funds, and a serious underachievement in meeting targets for a

prgramme may give rise t a cancellatin f funds.30

Another clause of the general regulation explains the performance and how this condition is going to

be implemented:

A perfrmance framewrk shuld be defined fr each prgramme with a view t

monitoring progress towards the objectives and targets set for each programme

over the course of the programming period. The Commission should undertake a

performance review in cooperation with the Member States in 2017 and 2019. Aperformance reserve should be foreseen and allocated in 2019 where milestones

set in the performance framework have been attained. Due to their diversity and

multi-country character, there should be no performance reserve for 'European

Territorial Cooperation' programmes. In cases where the shortfall in the

achievement of milestones or targets is significant, the Commission should be able

to suspend payments to the programme or, at the end of the programming period,

apply financial corrections, in order to ensure that the Union budget is not used in

a wasteful r inefficient way.31

The Commission explains that conditionalities are introduced in the new financial perspective in

order to help Member States in implementing EU funds and not to punish them. However, certain

governments of EU countries remain unconvinced and the issue will certainly come back during

meetings in the Council scheduled for this year.

28Draft opinion of the Committee on Budgets on the proposal...,

http://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fEN#29

Draft pinin f the Cmmittee n Wmens Rights and Gender Equality n the prpsal...,http://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-487.962%2b01%2bDOC%2bPDF%2bV0%2f%2fEN30


the European Regional Development Fund, ..., p. 831Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL laying down common provisions on

http://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-487.962%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-487.962%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-487.962%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-487.962%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-487.962%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-488.045%2b01%2bDOC%2bPDF%2bV0%2f%2fEN


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ECAS tip: Build in evaluation from the outset

Civil society organisations in cooperation with academic circles specialising in social and territorial cohesion

policies should monitor the putting in place of the new funds throughout the stages of strategy, programming,

execution and evaluation. The main aims will be to assess performance and results achieved by civil society

organisations, and the extent to which the reforms specified in the regulations still being negotiated are

implemented in practice. Typical questions for a civil society health check on the use of structural funds would

include:

- To what extent were European targets and priorities met? Was there a sufficient commitment to theEurope 2020 objectives of smart, sustainable and inclusive growth?

- How has the new partnership principle been applied in practice at different stages and differentgeographical levels of operation?

- What progress and results have been achieved in the area of local community development and theperformance of local action groups?

- To what extent have the measures proposed for simplification been implemented and how well have theyworked in practice?

- What results have been achieved from civil society and social innovation projects?


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2. How to make use of the EU future

Cohesion Policy?

2.1. Social innovation and civil society organisations in the future EU

funds

The EESC als advcates a return t simplified Cmmunity initiative prgrammes targeted at scial

innvatin and lcal develpment, Jan Olssn wrte in his reprt. This issue can be analysed from

two points of view. First, in the new regulation the idea of programmes at the EU-level does not

seem to be very broadly developed and thus the Eurpean dimensin seems t be disappearing.From the other point of view, many social problems, such as fighting poverty and unemployment,

integrating local citizens are similar in many Member States and actions to solve these problems give

best results when taken at the local, not national, level. Giving ready-made solutions usually does not

work, but maybe coordinating local actions under a bigger, more European initiative, would bring

new added value to European projects? Even if it is not one project as such, the need to exchange

best practice is very strong.

As stated in the ESF regulation, the new legislative package aims to strengthen and encourage socialinnovation. The means how it can be done are described in the introduction to ESF regulation:

Likewise, the draft Regulatin aims t reinfrce scial innvatin and

transnational cooperation under the ESF, through an incentive in the form of ahigher co-funding rate for priority axes dedicated to them, specific programmingand monitoring arrangements, and a stronger role for the Commission in theexchange and dissemination of good practices, joint actions and results across theUnin.

32

The paragraph above confirms the importance of cooperation and partnership and shows theCmmissins engagement int the prcess.The role of partners is more widely defined in one of next paragraphs:

The draft Regulatin attaches great imprtance t the invlvement f scial

partners and nongovernmental organisations in the programming andimplementation of ESF priorities and operations. To this end, for the less-developedregions and countries, the draft Regulation calls for an appropriate amount of ESFresources to be allocated to capacity building actions for social partners and non-governmental organisations. Joint activities undertaken by the social partners willalso be supported, considering their vital role in the field of employment, educationand scial inclusin.

33


Regulation (EC) No 1081/2006, p.633Proposal for a Regulation of the European Parliament and of the Council on the European Social Fund and repealing



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In article 9 f the ESF regulatin, entitled Scial innvatin, the respnsibility f Member States t

promote and support social innovation is described and also the role of the European Commission as

facilitator of this process is mentioned:

1. The ESF shall promote social innovation within all areas falling under the scope

of the ESF, as defined in Article 3 of this Regulation, in particular with the aim oftesting and scaling up innovative solutions to address social needs.2. Member States shall identify themes for social innovation, corresponding to theirspecific needs in their operational programmes.3. The Commission shall facilitate capacity building for social innovation, inparticular through supporting mutual learning, establishing networks, anddisseminating gd practices and methdlgies.

34

2.2. European Social Fund

The European Social Fund is a source of funding for many civil society organisations and that is whya more detailed analysis of the ESF regulation is presented in the following part of this publication.

In the introduction to the new Cmmissins proposal on European Social Fund it is underlined that

the ESF targets should correspond with Europe 2020 Strategy objectives.

As the ESF shuld be fully aligned with the Eurpe 2020 Strategy and i ts headlinetargets, it should support the policies pursued by the Member States under theIntegrated Guidelines adopted in accordance with Articles 121 and 148(4) of theTreaty and the Recommendations on the National Reform Programmes. The settingof minimum shares and amounts for the ESF as one of the Structural Funds will



ECAS tip: Encourage social innovation

In European policy making, social innovation, as part of the Europe 2020 emphasis on innovation in general, is a

high priority across several Commission departments. For the first time, this ill-defined concept is included in the

Eurpean Scial Fund. As stated the draft regulatin aims t reinfrce scial innvatin and transnatinal

cooperation, through an incentive in the form of a higher co-funding rate. A key issue is hw t attract

investment by financial institutions in social innovation. The funds do provide incentive for innovative financial

mechanisms.

This new activity can be interpreted as encouragement to new ideas to solve often old and intractable problems

and backing for social entrepreneurs. Their experiments in public service provision, or a greener low-carbon

economy can often be linked to local community development since social innovation should be based on a high

level of public participation. Civil society can promote social innovation and the exchange of best practices, so

that what works in one area can be taken over and franchised in others.


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ensure that the Union priorities are adequately reflected in the volume ofinvestment that directly targets Eurpean citizens.

35

A strong link between the Europe 2020 Strategy objectives and the mission of EuropeanSocial Fund described in article 2 of the ESF is underlined several times in the draftregulation.

Mission(...)2. It shall do so by supporting Member States in pursuing the priorities andheadline targets of the Europe 2020 strategy for smart, sustainable and inclusivegrowth. The ESF shall support the design and implementation of policies andactions, taking account of the integrated guidelines for the economic andemployment policies of Member States and the Council Recommendations on theNatinal Refrm Prgrammes.

36

The scpe f ESF bjectives is limited accrding t the funds target areas. Althugh ESF is strngly

addressing social issues, a support for other thematic objectives is not excluded.

In terms fscope, the draft ESF Regulation for 2014-2020 proposes to target theESF n fur thematic bjectives thrughut the Eurpean Unin: (i) prmting

employment and labour mobility; (ii) investing in education, skills and lifelonglearning; (iii) promoting social inclusion and combating poverty; (iv) enhancinginstitutional capacity and an efficient public administration. Each thematicbjective is translated int interventin categries r investment pririties. In

addition, the ESF should contribute also to other thematic objectives such assupporting the shift towards low-carbon, climate resilient and resource efficienteconomy, enhancing the use of information and communication technologies,strengthening research, technological development and innovation and enhancingthe competitiveness of small and medium-sized enterprises.37

All ESF thematic objectives and possible fields of activity are described in article 3 of the ESFregulation. This list can be used by all organisations who aim to apply for EU funds as a clue to buildtheir plan of activities in the coming years.

Scope of supportUnder the thematic objectives listed below, and in accordance with Article 9 ofRegulatin (EU) N *+, the ESF shall supprt the fllwing investment pririties:(...)(c) Promoting social inclusion and combating poverty through:

(i) Active inclusion;(ii) Integration of marginalised communities such as the Roma;(iii) Combating discrimination based on sex, racial or ethnic origin, religion or belief,disability, age or sexual orientation;(iv) Enhancing access to affordable, sustainable and high-quality services, includinghealth care and social services of general interest;(v) Promoting the social economy and social enterprises;(vi) Community-led local development strategies;

35Proposal for a Regulation of the European Parliament and of the Council on the European Social Fund and repealingRegulation (EC) No 1081/2006, p.236

Proposal for a Regulation of the European Parliament and of the Council on the European Social Fund and repealing

Regulation (EC) No 1081/2006, p.1037Proposal for a Regulation of the European Parliament and of the Council on the European Social Fund and repealing



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(d) Enhancing institutional capacity and efficient public administration through:(i) Investment in institutional capacity and in the efficiency of publicadministrations and public services with a view to reforms, better regulation andgood governance;This investment priority is only applicable throughout the territory of the MemberStates which have at least one NUTS level 2 region as defined in Article 82(2)(a) of

Regulatin (EU) N *+ r in Member States eligible fr Chesin Fund supprt.(ii) Capacity building for stakeholders delivering employment, education and socialpolicies and sectoral and territorial pacts to mobilise for reform at national,reginal and lcal level.

38

Article 4 of the ESF regulation confirms that:

At least 20% of the total ESF resources in each Member State shall be allocated

tothe thematic objective "promoting social inclusion and combating poverty" set

ut inArticle 9(9) f Regulatin (EU) N *+.39

This idea was welcomed by the European Anti-Poverty Network, which in one of its press releases in

October 2011 pointed out the most important messages of the new regulation and approved

cmmitments t increase NGO access and participatin thrugh the prmtin f a mre bttm -

up approach in the delivery of Structural Funds. The EAPN expressed its cncerns abut establishing

a binding partnership principle, ensuring that global grants, technical assistance and capacity-

building are accessible for small NGOs and making transnational projects really open to small

NGOs.40

38Proposal for a Regulation of the European Parliament and of the Council on the European Social Fund and repealingRegulation (EC) No 1081/2006, p.1239


Regulation (EC) No 1081/2006, p.1340http://www.eapn.eu/en/news-a-events/press-room/eapn-press-releases/2820-structural-funds-must-be-used-to-deliver-

the-eu-poverty-reduction-target, 13.02.2012
http://www.eapn.eu/en/news-a-events/press-room/eapn-press-releases/2820-structural-funds-must-be-used-to-deliver-the-eu-poverty-reduction-targethttp://www.eapn.eu/en/news-a-events/press-room/eapn-press-releases/2820-structural-funds-must-be-used-to-deliver-the-eu-poverty-reduction-targethttp://www.eapn.eu/en/news-a-events/press-room/eapn-press-releases/2820-structural-funds-must-be-used-to-deliver-the-eu-poverty-reduction-targethttp://www.eapn.eu/en/news-a-events/press-room/eapn-press-releases/2820-structural-funds-must-be-used-to-deliver-the-eu-poverty-reduction-targethttp://www.eapn.eu/en/news-a-events/press-room/eapn-press-releases/2820-structural-funds-must-be-used-to-deliver-the-eu-poverty-reduction-targethttp://www.eapn.eu/en/news-a-events/press-room/eapn-press-releases/2820-structural-funds-must-be-used-to-deliver-the-eu-poverty-reduction-target


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2.3. The importance of partnership

The question of partnership, reinforced in the new regulation, attracts attention and interest of mostCSOs, social economy, local and regional authorities and other social partners. This is due to the fact

that article 5 of the new legislative proposal concerning partnership is significantly different than

article 11 from the current regulations and defines in a more precise way the relations between

Member States and partners.

In the Cmmissins wrking paper published in April 2012 the partnership principle is explained in a

mre detailed way: The partnership principle implies close cooperation between public authorities

at national, regional and local levels in the Member States and with the private and third sectors.

Partners should be actively involved throughout the whole programme cycle preparation,

implementation, monitoring and evaluation. Partnership must be seen in close connection with the

multi-level governance approach and the subsidiarity and proportionality principles.41

The importance of partnership has already been underlined by Jan Olsson well before the new

regulation was published and put into discussion. Jan Olsson in his report wrote: Fr pst-2013 EU

cohesion policy, programme structures and regulations should facilitate the implementation of the

partnership principle. This is in line with the Barca Report, which focuses strongly on the link

41The partnership principle in the implementatin f the Cmmn Strategic Framewrk Funds elements for a European

Cde f Cnduct n Partnership, Cmmissin Staff Wrking Dcument, Brussels, April 2012

ECAS tip: Evaluate the relevance of the European Social Fund and the scope of access to its operations

In the draft regulation for the European Social Fund, the Commission proposes that 20% of funds should go to

promoting social inclusion and combating poverty, a significant increase on the 13% now spent on this

objective, reflecting the increased challenges created by the financial and economic crisis. In Elements fr a

Common Strategic Framework 2014-2020, it is clear that the key targets address different civil societyorganisations, those involved with local community development generally, those targeting a particular group

in the population, those defending the rights of a minority group and fighting for equality between men and

women or against particular forms of discrimination. Active inclusin requires such key actins as integrated

pathways combining various forms of employability measures, such as individualised support, counselling,

guidance, access t vcatinal educatin and training as well as a wide range of services. The integration of

marginalised communities, such as the Roma, requires similar action, as well as the elimination of segregation

in education and measures to overcome prejudices against a minority. Other measures are possible for

cmbating discriminatin based n gender, racial r ethnic rigin, religin r belief, disabilit y, age or sexual

rientatin. The guidelines call fr specific actions targeting people at risk of discrimination and people with

disabilities and chrnic disease.

For civil society organisations, the European Social Fund is not the only fund under the Cohesion Policy, but it

is the most immediately relevant and accessible, covering a wide range of activities. Aspects of the fund are

more relevant for the public sector social and health services. Civil society cannot act alone: as the term

integrated pathways suggests, active inclusin is t invlve partnerships with lcal firms and administratins

so that more and better jobs are created.


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between a "place-based approach" and partnership, and which is particularly relevant for the ERDF

and should be part of the Eurpe 2020 strategy.

Some of these important issues brought by Olsson are reflected in the new regulation when defining

the partnership.

It is important to notice that two kinds of partnership are mentioned in the legislative proposal. The

term f partnership appears in the regulation in two dimensions: one is the vertical partnership

established on the basis of Partnership Contract between the Commission and each Member State,

and the other dimension is horizontal partnership between the Member State and regional and local

authorities, social partners, civil society, NGOs, etc.

Article 5 of the new regulation, although very condensed and short, gives all the necessary

information and shows how important the question of partnership for Structural Funds is:

1. Fr the Partnership Cntract and each prgramme respectively, a MemberState shall organise a partnership with the following partners:

(a) competent regional, local, urban and other public authorities;

(b) economic and social partners; and

(c) bodies representing civil society, including environmental partners,

nongovernmental organisations, and bodies responsible for promoting equality and

non-discrimination.

2. In accordance with the multi-level governance approach, the partners shall be

involved by Member States in the preparation of Partnership Contracts and

progress reports and in the preparation, implementation, monitoring and

evaluation of programmes. The partners shall participate in the monitoring

committees for programmes.3. The Commission shall be empowered to adopt delegated acts in accordance with

Article 140 to provide for a European code of conduct that lays down objectives

and criteria to support the implementation of partnership and to facilitate the

sharing of information, experience, results and good practices among Member

States.

4. At least once a year, for each CSF Fund, the Commission shall consult the

organisations which represent the partners at Union level on the implementation

f supprt frm the CSF Funds.42

The question of organising a partnership is further developed in the regulation:

Fr the Partnership Cntract and each prgramme respectively, a Member State

should organise a partnership with the representatives of competent regional,

local, urban and other public authorities, economic and social partners, and bodies

representing civil society, including environmental partners, non-governmental

organisations, and bodies responsible for promoting equality and

nondiscrimination. The purpose of such a partnership is to respect the principle of

multi-level governance, ensure the ownership of planned interventions by

stakeholders and build on the experience and know-how of relevant actors. The


the European Regional Development Fund, ...


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Commission should be empowered to adopt delegated acts providing for a code of

conduct in order to ensure that partners are involved in the preparation,

implementation, monitoring and evaluation of Partnership Contracts and

prgrammes in a cnsistent manner.43

Partnership contracts (vertical partnership) shall be prepared by each Member State in cooperationwith the partners mentioned in article 5 of the new regulation and in dialogue with European

Commission.

However, some of the European Parliament committees are calling for greater involvement of local

and regional authorities and pointing out that they should be given more power than other partners.

The Committee on Agriculture and Rural Development suggests an amendment putting regional and

local authorities at the same level as Member States and giving them legitimacy to organise

partnership with other partners. This issue will be certainly discussed during votes in the

Parliament.44

Develpment f the questin f partnership can als be fund in Wrking paper n the applicatin

of the partnership principle in EU Chesin Plicy, ECAS publicatin prepared fr Open Days 2010.

Analysis of the current EU Cohesion Policy projects has shown that broader horizontal partnership

has led t mre cnsideratin f civil sciety and the scpe and limits f i ts participation in

Cohesion policy by national authorities.45 Recommendations made in the paper mainly concern the

application of partnership principle in different Member States:

According to the socio-economic actors, it is pertinent for the objectives to be set by the European

Commission, but it is then up to the Government and the Region to define the suitable measures to

satisfy these, since the partnership concept differs according t each cuntrys culture. The Reginal

Ecnmic and Scial Cuncil adds that impsing t many rules frm the tp can stifle flexibility rlocal initiatives in terms of partnership. Strong encouragement is more useful than a rigid framework

for implementing partnerships. Hwever, tw sci-economic partners consider that drawing up

European guidelines would make it possible to support the partnerships and integrate the less

experienced stakeholders at the local level by providing them with guidelines, training and

opportunities to discuss best practices. Finally, it must be emphasised that all the socio-economic

actors appreciate the comparison of best practices that the partnership principle provides, and they

are awaiting its systematisation at the natinal and EU level.46

In current regulations (COUNCIL REGULATION (EC) No 1083/2006 of 11 July 2006) partnership is

described in article 11:1. The bjectives f the Funds shall be pursued in the framewrk f clse

cooperation, (hereinafter referred to as partnership), between the Commission and

each Member State. Each Member State shall organise, where appropriate and in


the European Regional Development Fund, ..., p. 1544 Draft opinion of the Committee on Agriculture and Rural Development on the proposal...,http://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-483.804%2b01%2bDOC%2bPDF%2bV0%2f%2fEN

45Wrking paper n the applicatin f the partnership principle in EU Chesin Plicy, Eurpean Citizen Actin Service,Brussels, October 2010, p.346

Wrking paper n the applicatin f the partnership...,..., p.14
http://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-483.804%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-483.804%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-483.804%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-483.804%2b01%2bDOC%2bPDF%2bV0%2f%2fENhttp://www.europarl.europa.eu/sides/getDoc.do?pubRef=-%2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE-483.804%2b01%2bDOC%2bPDF%2bV0%2f%2fEN


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accordance with current national rules and practices, a partnership with authorities

and bodies such as:

(a) the competent regional, local, urban and other public authorities;

(b) the economic and social partners;

(c) any other appropriate body representing civil society, environmental partners,

non-governmental organisations, and bodies responsible for promoting equalitybetween menand women.

Each Member State shall designate the most representative partners at national,

regional and local level and in the economic, social, environmental or other spheres

(hereinafter referred to as partners), in accordance with national rules and

practices, taking account of the need to promote equality between men and

women and sustainable development through the integration of environmental

protection and improvement requirements.

2. The partnership shall be conducted in full compliance with the respective

institutional, legal and financial powers of each partner category as defined in

paragraph 1. The partnership shall cover the preparation, implementation,

monitoring and evaluation of operational programmes. Member States shall

involve, where appropriate, each of the relevant partners, and particularly the

regions, in the different stages of programming within the time limit set for each

stage.

3. Each year the Commission shall consult the organisations representing the

economic and social partners at European level on assistance from the Funds.47

What is most important when comparing current regulation with the new proposal in regard of

partnership is the fact that in current regulatin article 11 pint 1 says: () Each Member State shall

organise, where apprpriate () a partnership, whereas in the new regulatin the expressin

where apprpriate des nt appear anymre. In this case mre stress is put n the bligatry

character of rules included in article 5, which should be more binding for Member States.

In view of the importance of partnership, it is worth considering whether in the new regulation a fifth

point in article 5 covering the support of technical assistance in preparing strengthened partnership

would be appropriate. Jan Olsson, rapporteur of the European Economic and Social Committee,

suggested in his report in June 2010: The current regulatins *fr the perid 2007-2013] still leave

too much room for national interpretation of the concept of partnership. A strengthening of these

rules is needed, particularly of Article 11 of the general Regulation 1083/2006. The EESC proposes,

for the future, a number of changes to the wording of that article, thus establishing minimum

requirements fr partnership.48

When he analysed current regulations to give some remarks for the future Cohesion Policy, he wrote:

Article 11 *EC 1083/2006+ f the general regulatin is key in defining the scpe and applicatin f

the partnership principle. MS shall involve the relevant partners in the different stages of

programming. Further, they shall designate the most representative partners at national, regional

and local level in the economic, social, environmental or other spheres "in accordance with national

rules and practices". Each year, the Commission shall consult the organisations representing the

47 COUNCIL REGULATION (EC) No 1083/2006 of 11 July 200648Hw t fster efficient partnership in the management f chesin plicy prgrammes, based n gd practices frm

the 2007-2013 cycle, rapprteur: Jan Olssn, EESC, June 2010


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ecnmic and scial partners at Eurpean level.49 The role of social partners has already been

noticed, but not as clearly defined as in article 5 of the new legislative proposal.

The application of partnership principle is also developed in the ESF regulation, namely in article 6,

which describes the importance of involvement of partners:

Article 6

Involvement of partners1. The involvement of the social partners and other stakeholders, in particularnongovernmental organisations, in the implementation of operationalprgrammes, as referred t in Article 5 f Regulatin (EU) N *+, may take the

frm f glbal grants as defined in Article 112(7) f Regulatin (EU) N *+. In sucha case, the operational programme shall identify the part of the programmeconcerned by the global grant, including an indicative financial allocation from eachpriority axis to it.2. To encourage adequate participation of the social partners in actions supportedby the ESF, managing authorities of an operational programme in a region asdefined in Article 82(2)(a) f Regulatin (EU) N *+ r in Member States eligible

for Cohesion Fund support shall ensure that an appropriate amount of ESFresources is allocated to capacity-building activities, in the form of training,networking measures, and strengthening of the social dialogue, and to activitiesjointly undertaken by the social partners.3. To encourage adequate participation of and access by non-governmentalorganisations to actions supported by the ESF, notably in the fields of socialinclusion, gender equality and equal opportunities, the managing authorities of anoperational programme in a region as defined in Article 82(2)(a) of Regulation (EU)N *+ r in Member States eligible fr Chesin Fund supprt shall ensure that an

appropriate amount of ESF resources is allocated to capacity-building fornngvernmental rganisatins.

50

The new proposal submitted by the Commission is a big step forward as far as partnership is

cncerned and thus in sme ways it is an answer t Jan Olssns suggestins. A cde f cnduct,

announced in several paragraphs, should set minimum standards for partnership. Member States will

have a clear obligation to organise a partnership, but the specific procedures for involving the

relevant partners in the different stages of the programming will be left to the national authorities.

The Eurpean cde of conduct on partnership (ECCP) will lay down minimum requirements which

are necessary to attain a high quality partnership in the implementation of the funds while

maintaining ample flexibility to Member States in ways they organise the participation of the

different partners.

51

ECCP should also facilitate the on-going legislative procedure and helpstakeholders to take part in this debate. The ECCP should be adopted by the Commission as a

delegated act, as soon as the Common Provision Regulation enters into force.

The aim of making the regulation less complicated and more accessible is attained even by the use of

language, which is different than the language used for the regulations in the financial perspective

for years 2007-2013. It is much simpler and therefore much more understandable and direct.

49Hw t fster efficient partnership in the management of cohesion policy programmes, based on good practices from

the 2007-2013 cycle, rapprteur: Jan Olssn, EESC, June 2010 50


Regulation (EC) No 1081/2006, p.1451The partnership principle in the implementatin f the Cmmn Strategic Framewrk Funds elements for a European

Cde f Cnduct n Partnership, Cmmissin Staff Wrking Dcument, Brussels, April 2012


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However, as far as management of the programmes for 2014-2020 is concerned, in none of articles

113-116 defining functions of institutions and bodies responsible for implementation, the

responsibility for partnership establishment is defined. In the article 114 describing the functions of

the managing authority there is no relation to building and improving the partnership, although it

seems to be one of important questions. The responsibility for partnership should be clarified.

Technical assistance

In June 2010 Jan Olsson in his report already underlined the necessity of recognising social partners

and civil society as bodies that should be included into technical assistance scheme: Cntinuus

capacity-building of the partners is crucial: technical assistance resources should be made available

t scial partners and civil sciety in all peratinal prgrammes.52

However, in the new regulation this subject is not described in a comprehensive way and may need

further precision.

The partnership is not explicitly mentioned in article 52 where the measures necessary for

implementing the regulation are enumerated and described:

Thse measures may include but nt limited t:

(a) assistance for project preparation and appraisal, including with the EIB;

(b) support for institutional strengthening and administrative capacity building for

the effective management of the CSF Funds;

(c) studies linked to the Commission's reporting on the CSF Funds and the cohesion

report;(d) measures related to the analysis, management, monitoring, information

exchange and implementation of the CSF Funds, as well as measures relating to the

implementation of control systems and technical and administrative assistance;

(e) evaluations, expert reports, statistics and studies, including those of a general

nature, concerning the current and future operation of the CSF Funds, which may

be carried out where appropriate by the EIB;

(f) actions to disseminate information, support networking, carry out

communication activities, raise awareness and promote cooperation and exchange

of experience, including with third countries. To bring about greater efficiency in

communication to the public at large and stronger synergies between the

communication activities undertaken at the initiative of the Commission, the

resources allocated to communication actions under this Regulation shall also

contribute to covering the corporate communication of the political priorities of

the European Union provided that these are related to the general objectives of

this Regulation;

(g) the installation, operation and interconnection of computerised systems for

management, monitoring, audit, control and evaluation;

(h) actions to improve evaluation methods and the exchange of information on

evaluation practices;

(i) actions related to audit;

52Hw t fster efficient partnership in the management of cohesion policy programmes, based on good practices from

the 2007-2013 cycle, rapprteur:Jan Olssn, EESC, June 2010


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(j) the strengthening of national and regional capacity regarding investment

planning, needs assessment, preparation, design and implementation of financial

instruments, joint action plans and major projects, including joint initiatives with

the EIB.53

Jan Olssn suggests: Measures f technical assistance can be aimed at all partners, beneficiaries fthe funds and the general public. Information, networking, raising awareness, promoting cooperation

and exchanging experiences are such measures (Art. 45-46 *EC 1083/2006+).

It may be put under discussion whether the procedures of preparing and developing partnership, e.g.

between Member States and regional and local authorities, civil society organizations and citizens,

could be included into technical assistance chapter and therefore given financial support. In that case

a strong need to add such information to this article would appear

ways and means to involve civil society in the eu cohesion policy 2014-2020

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