PURPOSE: final adoption of amending budget 1/2007.

LEGISLATIVE ACT: 2007/280/EC Euratom.

CONTENT: the European Parliament has definitively concluded the amending budget 1/2007 of the European Union, in accordance with its resolution adopted on 1 February 2007. (Please refer to the summary of the resolution).

This amending budget covers the necessary technical adjustments, without having an effect on the overall amount of the 2007 budget.

The European Parliament adopted a resolution drawn up by James ELLES (EPP-ED, UK) approving Draft Amending Budget No 1/2007 unamended. (Please refer to the summary of 26/01/2007.)

On 20 December 2006, the Commission submitted to the Council Preliminary Draft Amending Budget (PDAB) No. 1 to the general budget for 2007 concerning expenditure under Section III - Commission - of the Community budget.

The main aim of this PDAB is to integrate into the 2007 budget the necessary technical adjustments needed from the Letter of Amendment No. 2/2007, which could not be taken on board during the last phase of the 2007 budgetary procedure, as accepted during the trilogue of 28 November 2006.

The proposed technical adjustments concern the following:

changes arising from the new Multi-Annual Financial Framework which concern mainly the "External Relations" and "Development" policy areas; Structural and Cohesion Funds and the European Fisheries Fund; changes to the Joint Research Centre's establishment plan for 2007; creation of new budget lines (treasury management; EDF contribution to common administrative support expenditure) following modernisation of the accounting system; update of the budgetary comments of the budget lines concerning the European Investment Fund; reallocation of the funds for the Platform of the European Social Non-Governmental Organisations (NGOs) from Heading 1a to Heading 3b; and update of the budgetary remarks of the budget lines concerning the Community programmes in which the Swiss Confederation participates.

These technical adjustments do not affect the overall amounts of the 2007 budget.

On 30 January 2007, the Council established - on this basis - Draft Amending Budget No. 1 for the financial year 2007 as set out in the technical annex to this explanatory memorandum (see Council document 5739/07 ADD 1 BUDGET 1).

On 20 December 2006, the Commission submitted to the Council Preliminary Draft Amending Budget (PDAB) No. 1 to the general budget for 2007 concerning expenditure under Section III - Commission - of the Community budget.

The main aim of this PDAB is to integrate into the 2007 budget the necessary technical adjustments needed from the Letter of Amendment No. 2/2007, which could not be taken on board during the last phase of the 2007 budgetary procedure, as accepted during the trilogue of 28 November 2006.

The proposed technical adjustments concern the following:

changes arising from the new Multi-Annual Financial Framework which concern mainly the "External Relations" and "Development" policy areas; Structural and Cohesion Funds and the European Fisheries Fund; changes to the Joint Research Centre's establishment plan for 2007; creation of new budget lines (treasury management; EDF contribution to common administrative support expenditure) following modernisation of the accounting system; update of the budgetary comments of the budget lines concerning the European Investment Fund; reallocation of the funds for the Platform of the European Social Non-Governmental Organisations (NGOs) from Heading 1a to Heading 3b; and update of the budgetary remarks of the budget lines concerning the Community programmes in which the Swiss Confederation participates.

These technical adjustments do not affect the overall amounts of the 2007 budget.

On 30 January 2007, the Council established - on this basis - Draft Amending Budget No. 1 for the financial year 2007 as set out in the technical annex to this explanatory memorandum (see Council document 5739/07 ADD 1 BUDGET 1).

The committee adopted the report by James ELLES (EPP-ED, UK) approving Draft Amending Budget No 1/2007 unamended. The purpose of the DAB is to integrate into the 2007 budget the technical adjustments needed in order for the outcome of the trialogue meeting on 28 November 2006 to be taken into account and implemented in the budget for 2007.

PURPOSE: to present the Preliminary Draft Amending Budget (PDAB) No 1 for the year 2007.

CONTENT: the Commission presents this Preliminary Draft Amending Budget (PDAB) No 1 for the year 2007 in order to integrate into the budget 2007 the necessary technical adjustments needed from the Amending Letter 2/2007, which could not be taken on board during the last phase of the 2007 budget procedure, as accepted during the trialogue of 28 November 2006.

On the basis of the agreement reached at the trialogue meeting of 28 November, at its meeting on 30 November 2006 the Council accepted only the following items from Amending Letter 2/2007:

EUR 500 million in commitment appropriations for the European Global Adjustment Fund ( EGF ) with only a reference to the IIA and Article 12 of the EGF Regulation; EUR 6 million in commitment appropriations and EUR 4.4 million in payment appropriations for Hercule II as proposed by the Commission.

Moreover, the appropriations for the International Fund for Ireland were already included in the 1st reading of the 2007 draft budget by the EP and accepted in the Council's 2nd reading.

At the trialogue meeting of 28 November, the Commission announced that it would come forward with this Preliminary Draft Amending Budget in early 2007 with the political understanding that the proposed modifications will be taken into account in the final publication of the budget 2007 in the Official Journal scheduled for mid-March 2007.

To this end, the Commission calls on the European Parliament and the Council to agree on this Preliminary Draft Amending Budget in one single reading , in view of its final adoption by 1 February 2007.

In parallel, adjustments are needed following the agreement reached at the trialogue meeting of 28 November 2006. The main technical adjustments concern the following: i) changes arising from the new Multi-Annual Financial Framework on external relations and development; ii) the Structural and Cohesion Funds and the European Fisheries Fund; iii) changes to JRC establishment plan; iv) the creation of new budget items (treasury management, EDF contribution to common administrative support expenditure) following the modernisation of the accounting system; v) increase of European Investment Fund capital; vi) reallocation of funds for the platform of the European Social NGOs from Heading 1a to Heading 3b; vii) updating the budgetary remarks of the programmes with Swiss participation.

PURPOSE: to present the Preliminary Draft Amending Budget (PDAB) No 1 for the year 2007.

CONTENT: the Commission presents this Preliminary Draft Amending Budget (PDAB) No 1 for the year 2007 in order to integrate into the budget 2007 the necessary technical adjustments needed from the Amending Letter 2/2007, which could not be taken on board during the last phase of the 2007 budget procedure, as accepted during the trialogue of 28 November 2006.

On the basis of the agreement reached at the trialogue meeting of 28 November, at its meeting on 30 November 2006 the Council accepted only the following items from Amending Letter 2/2007:

EUR 500 million in commitment appropriations for the European Global Adjustment Fund ( EGF ) with only a reference to the IIA and Article 12 of the EGF Regulation; EUR 6 million in commitment appropriations and EUR 4.4 million in payment appropriations for Hercule II as proposed by the Commission.

Moreover, the appropriations for the International Fund for Ireland were already included in the 1st reading of the 2007 draft budget by the EP and accepted in the Council's 2nd reading.

At the trialogue meeting of 28 November, the Commission announced that it would come forward with this Preliminary Draft Amending Budget in early 2007 with the political understanding that the proposed modifications will be taken into account in the final publication of the budget 2007 in the Official Journal scheduled for mid-March 2007.

To this end, the Commission calls on the European Parliament and the Council to agree on this Preliminary Draft Amending Budget in one single reading , in view of its final adoption by 1 February 2007.

In parallel, adjustments are needed following the agreement reached at the trialogue meeting of 28 November 2006. The main technical adjustments concern the following: i) changes arising from the new Multi-Annual Financial Framework on external relations and development; ii) the Structural and Cohesion Funds and the European Fisheries Fund; iii) changes to JRC establishment plan; iv) the creation of new budget items (treasury management, EDF contribution to common administrative support expenditure) following the modernisation of the accounting system; v) increase of European Investment Fund capital; vi) reallocation of funds for the platform of the European Social NGOs from Heading 1a to Heading 3b; vii) updating the budgetary remarks of the programmes with Swiss participation.