[ParlTrack]

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Recital 6 a (new)

(6a) It is therefore appropriate to review, for the purposes of calculating the public debt ratio, the method for calculating government deficit, which should be computed net of government expenditure on priority investments for the Union. The reference values for calculating the government deficit ratio, as well as the public debt ratio, should also be reviewed. The reference values set out in the Protocol to the Treaty on the Functioning of the European Union on the excessive deficit procedure have proved unsustainable over the years of their application. The inadequacy of the reference values chosen was revealed in particular during the severe economic crises experienced by the Union from 2009 onwards, especially the crisis following the spread of the COVID-19 pandemic. In fact, only the triggering of the safeguard clause made it possible to support economic recovery by injecting significant sums of public money into the economy to support businesses and the most vulnerable sectors of the population.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 2 – paragraph 1 – point 2

(2) ‘net expenditure’ means government expenditure net of interest expenditure, discretionary revenue measures ~~and other budgetary variables outside the control of the government as set out in Annex II, point (a)~~, expenditure on programmes of the Union fully matched by Union funds revenue, national expenditure on co- financing of programmes funded by the Union, cyclical elements of unemployment benefit expenditure, strategic investments in security and defence, and costs related to the borrowing of funds for the loans related to the national Recovery and Resilience Facility Plans;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 2 – paragraph 1 – point 2 a (new)

(2a) ‘decoupling investments’ means excluding, when calculating government expenditure, the cost of investments falling under the common priorities of the Union set out in Annex VI and any other priorities identified, on a proposal from the European Commission, by the Council and Parliament;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

~~For each~~1. If a Member State ha~~ving~~s a public debt above the 60% of GDP reference value or a government deficit above the 3% of GDP reference value, th~~e Commission~~at Member State shall put forward~~, in a report to the Economic and Financial Committee,~~ to the Commission, after conducting with it the technical dialogue referred to in Article 10, a proposal for a technical trajectory for net expenditure covering a minimum adjustment period of 46 years of the national medium-term fiscal- structural plan, and its possible extension by a maximum of 34 years pursuant to Article 13. ~~The Commission shall make the report public~~2. Based on the proposal, the Commission shall set out, in agreement with the Member State and by means of the technical dialogue referred to in Article 10, the technical trajectory and publish the report, without prejudice to the provisions of paragraphs 3 and 4 of this article. 3. The Commission shall forward the report to the Member State before it is published. 4. Before publication, the Commission shall also submit the report to Parliament.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 6 – paragraph 1 – point a

(a) the public debt ratio is put or remains on a ~~plausibly downward~~n economically and socially sustainable path, or stays at prudent levels;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 6 – paragraph 1 – point c

(c) the fiscal adjustment effort over the period of the national medium-term fiscal- structural plan is at least proportional to the total effort over the entire adjustment period, provided that the path is economically and socially sustainable;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 6 – paragraph 1 – point d

(d) the public debt ratio at the end of the planning horizon ~~is below the public debt ratio in the year before the start of the technical trajectory~~stabilises over the adjustment period; and

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 6 – paragraph 1 – point e

~~(e) national net expenditure growth remains below medium-term output growth, on average, as a rule over the horizon of the plan.~~deleted

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 6 – paragraph 1 – point e a (new)

(ea) the measures contained in the national medium-term fiscal-structural plan are adequate to support strategic public investment in order to reduce the public debt ratio through growth;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 6 – paragraph 1 – point e b (new)

(eb) in the event that medium-term output growth stagnates or declines, the downward path for the public debt ratio is suspended and the fiscal adjustment effort over the period of the national medium- term fiscal-structural plan is revised accordingly;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 6 – paragraph 2

The technical trajectories ~~shall be differentiated for each Member State. The criteria for setting the technical trajectories~~of the Member States shall be agre ~~set out in Annex I~~ed with them.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 7 – paragraph 1 – point c

~~(c) the technical trajectory, if required under Article 5, and the corresponding structural primary balance.~~deleted

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 7 – paragraph 3 a (new)

3a. In the event of periods of severe economic crisis for the euro area or for the whole Union, or of exceptional events beyond the control of the Member State having a strong impact on its financial position, the Commission shall revise and, where necessary, promptly update, in consultation with the Member States, the technical trajectories and quantitative guidance of the medium-term fiscal- structural plans of the Member States concerned.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 8 – title

Assessment of plausibility and economic and social sustainability

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 8 – paragraph 1 a (new)

The Commission shall also assess the economic and social sustainability of the public debt ratio trajectory according to the methodology set out in Annex Va. The Commission shall make public its analysis of the economic and social sustainability and the underlying data.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 8 – paragraph 1 b (new)

By … [12 months after the entry into force of this Regulation], the Commission shall adopt a delegated act in accordance with Article 33 to supplement this Regulation by defining the methodology, agreed with the Member States in the relevant working groups, for debt sustainability analysis and the methodology for the assessment of plausibility referred to in paragraph 1. For the purpose of the delegated act on debt sustainability analysis, the Commission shall take into account, in particular, the future evolution of sustainable growth; the public debt ratio; interest rates; the level of inflation; liquidity risks; the structure of the debt; contingent liabilities; the potential growth impact of the reforms and investments underpinning the implemented national medium-term fiscal-structural plans.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 9 – paragraph 2 a (new)

Without prejudice to the rules of the constitutional system of each Member State, prior to the submission of its plan, the Member State shall discuss the content of the medium-term fiscal- structural plan before the national parliament.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 10 – paragraph 1

Prior to the submission of its national medium-term fiscal-structural plan, the Member State concerned shall hold with the Commission a technical dialogue, for the purpose of defining the technical trajectory in accordance with Article 5 and with the objective of ensuring that the national medium-term fiscal-structural plan complies with Articles 11, 12 and 14.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 11 – paragraph 1 – subparagraph 1

The national medium-term fiscal-structural plan shall provide the information listed in Annex II. In particular, it shall present a net expenditure trajectory covering a period of at least 46 years, as well as the underlying macroeconomic assumptions and the planned fiscal-structural measures in order to demonstrate compliance with the requirements of Article 12. The investments defined in Annex VI shall be excluded from the computation of net expenditure contained in the medium- term fiscal-structural plan.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 11 – paragraph 1 – subparagraph 2

The national medium-term fiscal- structural plan shall also describe the actions of the Member State concerned to address the country-specific recommendations, including those that are relevant for the Macroeconomic Imbalances Procedure, and the warnings by the Commission, where applicable, or the recommendations by the Council, where applicable, made pursuant to Article 121(4) TFEU.deleted

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 11 – paragraph 2

2. Where the national-medium-term fiscal-structural plan includes a higher net expenditure trajectory than in the technical trajectory issued by the Commission pursuant to Article 5, the Member State shall provide in its plan sound and verifiable economic arguments explaining the difference.deleted

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 12 – paragraph 1 – point a

(a) ensure the fiscal adjustment necessary to put or keep public debt on a plausibly downward path by the end of the adjustment period at the latest, or remain at prudent levels, and to bring and maintain the government deficit below the 3% of GDP reference value over the medium terme and economically and socially sustainable path;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 12 – paragraph 1 – point b

(b) explain how it will ensure the delivery of investment and reforms responding to the main challenges identified within the European Semester, in the country-specific recommendations, correct the identified macroeconomic imbalances under the Macroeconomic Imbalances Procedure if applicable, and address the common priorities of the Union referred to in Annex VI of this Regulation, including the European Green Deal, European Pillar of Social Rights and the Digital Decade while being consistent with the updated National Energy and Climate Plans and the National Digital Decade Roadmapsas strategic by the Member State;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 12 – paragraph 1 – point c

(c) if applicable, explain how it will ensure the delivery of a relevant set of reforms and investments referred to in Article 13, underpinning an extension of the Member State’s adjustment period by 34 years at most;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 13 – paragraph 1

1. Where a Member State commits to a relevant set of reforms and investments in accordance with the criteria set out in paragraph 2, the adjustment period may be extended by 34 years at most.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 13 – paragraph 2 – subparagraph 1

The set of reform and investment commitments underpinning an extension of the adjustment period, shall be commensurate with the degree of public debt challenges and challenges to medium-term growth in the Member State concerned.deleted

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 13 – paragraph 2 – subparagraph 2 – point iii

(iii) address the common priorities of the Union referred to in Annex VI or other priorities identified as such by the Member State concerned;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 14 – paragraph 2

2. Prior to the submission of the revised national medium-term fiscal- structural plan, the ~~Commission shall put forward, in a report to the Economic and Financial Committee, a new technical trajectory~~Member State shall propose a new reference trajectory in accordance with Article 5.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 15 – paragraph 2 – point a

(a) whether the national medium-term fiscal-structural plan ensures that public debt is put or kept on a plausibl~~y downward path by the end of the adjustment period at the latest~~e and economically and socially sustainable path, or stays at prudent levels;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 15 – paragraph 2 – point d

(d) whether the fiscal adjustment effort over the period of the national medium- term fiscal-structural plan is at least proportional to the total effort over the entire adjustment period, provided that the path is economically and socially sustainable;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 15 – paragraph 2 – point e

(e) whether for the years that the Member State concerned is expected to have a deficit above the 3% of GDP reference value, and the excess is not close and temporary, the fiscal adjustment is consistent with the benchmark referred to under Article 3 of Council Regulation (EC) No 1467/97 on speeding up and clarifying the implementation of the excessive deficit procedure as amended by Regulation [X]; andeleted

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 15 – paragraph 2 – point f

(f) whether the public debt ratio ~~at the end of the planning horizon is below the public debt ratio in the year before the start of the technical trajectory~~has stabilised over the adjustment period.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 18 – paragraph 1 – introductory part

The Council shall, on a recommendation from the Commission, recommend to the Member State concerned that the technical trajectory issued ~~by the Commission~~pursuant to Article 5 be the net expenditure path of the Member State where:

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 18 – paragraph 1 – point a

(a) the Member State concerned fails to submit a revised national medium-term fiscal-structural plan within onthree months of the recommendation by the Council;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 21 – paragraph 2

The Commission shall set up a control account, functioning in accordance with Annex IV, and shall keep track of cumulative upward (debit) and downward (credit) deviations of actual net expenditures from the net expenditure path. In the control account, upward deviations shall also take into account the ratio of private debt to GDP .

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 32 – paragraph 1

~~The Commission is empowered to adopt~~ delegated acts in accordance with Article 33 to amend Annexes II to VII to adapt them to take due account of further developments or needs regarding the information in the national medium-term fiscal-structural plan (Annex II) or in the annual progress reports (Annex III), regarding the functioning of the control account (Annex IV), regarding the methodology for the assessment of plausibility (Annex V), regarding the common priorities of the Union (Annex VI) or regarding the assessment framework (Annex VII).

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 33

1. The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article. 2. The power to adopt delegated acts referred to in Article 32 shall be conferred for an indeterminate period of time from XXX. 3. The delegations of power referred to in Article 32 may be revoked at any time by the European Parliament or by the Council. A decision to revoke shall put an end to the delegation of the power specified in that decision. It shall take effect on the day following the publication of the decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force. 4. Before adopting a delegated act, the Commission shall consult experts designated by each Member State in accordance with the principles laid down in the Interinstitutional Agreement of 13 April 2016 on Better Law-Making. 5. As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council. 6. A delegated act adopted pursuant to Article 32 shall enter into force only if no objection has been expressed either by the European Parliament or by the Council within a period of one month of notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by one month at the initiative of the European Parliament or of the Council.Article 33 deleted Exercise of the delegation

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Article 35

In-depth surveillance missions 1. The Commission may undertake in- depth surveillance missions in Member States which are the subject of recommendations issued pursuant to Article 23 for the purposes of on-site monitoring. 2. When the Member State concerned is a Member State whose currency is the euro or a Member State that is participating in ERM2, the Commission may invite representatives of the European Central Bank, if appropriate, to participate in surveillance missions.Article 35 deleted

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Annex I

Criteria for setting the technical trajectory for Member States having a public debt above 60% of GDP reference value or government deficit above 3% of GDP reference value For Member States having public debt above the 60% of GDP reference value or government deficit above the 3% of GDP reference value, the technical trajectory shall ensure that: (a) by the end of the adjustment period, at the latest, the 10-year debt trajectory in the absence of further budgetary measures is on a plausibly downward path or stays at prudent levels; (b) the government deficit is brought and maintained below the 3% of GDP reference value in the absence of further budgetary measures over the same 10- year period; (c) for the years that the Member State concerned is expected to have a deficit above the 3% of GDP reference value, and the excess is not close and temporary, the technical trajectory is also consistent with the benchmark referred to under Article 3 of Council Regulation (EC) No 1467/97 on speeding up and clarifying the implementation of the excessive deficit procedure as amended by Regulation [X]; (d) the adjustment effort is not postponed towards the final years of the adjustment period, that is to say the fiscal adjustment effort over the period of the national medium-term fiscal-structural plan is at least proportional to the total effort over the entire adjustment period; (e) the public debt ratio at the end of the planning horizon is below the public debt ratio in the year before the start of the technical trajectory; and (f) national net expenditure growth remains below medium-term output growth, on average, as a rule over the horizon of the plan.deleted

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Annex V a (new)

Annex Va Methodology used by the Commission to assess economic and social sustainability The methodology for the assessment of sustainability pursuant to Article 8 is based on the following conditions: the roadmap used to reduce the public debt ratio should be based on GDP growth and take into account the specific situation of each country; the roadmap used to reduce the public debt ratio should in no way jeopardise the public investments necessary for attaining the objectives of the European Pillar of Social Rights, including its targets for employment, skills and poverty reduction, by 2030.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Annex VI – paragraph 1 – point c

(c) Tinvestment in security and defence in implementing the Strategic Compass for Security and Defence - 'For a European Union that protects its citizens, values and interests and contributes to international peace and security' as well as the Digital Decade Policy Programme 203037, and reflected at national level through the National Digital Decade Strategic Roadmaps; _________________ 37 Decision (EU) 2022/2481 of the European Parliament and of the Council of 14 December 2022 establishing the Digital Decade Policy Programme 2030, (OJ L 323, 19.12.2022, p. 4)–26.

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Annex VI – paragraph 1 – point d a (new)

(da) promoting the EU's development by means of the economic, social and territorial cohesion instruments;

2023/10/26
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Annex VI – paragraph 1 – point d b (new)

(db) where applicable, essential investments made up to 2026, to achieve the targets and reforms set out in the national recovery and resilience plans, as well as the cost of borrowing, including principal and interest, up to the year of full repayment.

2023/10/26
Committee: ECON

Activities of Antonio Maria RINALDI related to 2023/0138(COD)

Shadow reports (1)

Amendments (43)

ParlTrack - 2011-2024