BETA

Procedure completed, awaiting publication in Official Journal



2016/0110(COD) Union programme to support specific activities in the field of financial reporting and auditing (2014-2020): co-financing of EFRAG for the period 2017-2020
RoleCommitteeRapporteurShadows
Opinion BUDG
Opinion CONT
Lead ECON STOLOJAN Theodor Dumitru (EPP) BERÈS Pervenche (S&D), KAMALL Syed (ECR), VAN NIEUWENHUIZEN Cora (ALDE), VIEGAS Miguel (GUE/NGL), GIEGOLD Sven (Verts/ALE), VON STORCH Beatrix (EFD), KAPPEL Barbara (ENF)
Opinion JURI
Lead committee dossier: ECON/8/06240
Legal Basis TFEU 114

Activites

  • 2017/05/17 Final act signed
  • 2017/05/17 End of procedure in Parliament
  • #3533
  • 2017/05/11 Council Meeting
  • 2017/05/11 Act adopted by Council after Parliament's 1st reading
  • 2017/04/27 Decision by Parliament, 1st reading/single reading
    • T8-0141/2017 summary
  • 2017/03/22 Approval in committee of the text agreed at 1st reading interinstitutional negotiations
  • 2016/10/14 Committee report tabled for plenary, 1st reading/single reading
    • A8-0291/2016 summary
  • 2016/10/11 Committee decision to open interinstitutional negotiations with report adopted in committee
  • 2016/10/11 Vote in committee, 1st reading/single reading
  • 2016/04/28 Committee referral announced in Parliament, 1st reading/single reading
  • 2016/04/13 Legislative proposal published
    • COM(2016)0202 summary
    • DG {'url': 'http://ec.europa.eu/info/departments/economic-and-financial-affairs_en', 'title': 'Economic and Financial Affairs'}, MOSCOVICI Pierre

Documents

  • Legislative proposal published: COM(2016)0202
  • Committee report tabled for plenary, 1st reading/single reading: A8-0291/2016
  • Approval in committee of the text agreed at 1st reading interinstitutional negotiations: PE602.849
  • Decision by Parliament, 1st reading/single reading: T8-0141/2017
AmendmentsDossier
22 2016/0110(COD)
2016/09/09 ECON 22 amendments...
source: 589.120

History

(these mark the time of scraping, not the official date of the change)

activities/11
date
2017-05-19T00:00:00
docs
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Final act published in Official Journal
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http://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&lg=EN&numdoc=32017R0827
title
Regulation 2017/827
procedure/stage_reached
Old
Procedure completed, awaiting publication in Official Journal
New
Procedure completed
activities/10
date
2017-05-17T00:00:00
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EP
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End of procedure in Parliament
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date
2017-05-17T00:00:00
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CSL
type
Final act signed
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Old
Awaiting signature of act
New
Procedure completed, awaiting publication in Official Journal
activities/5/docs/0/url
http://www.europarl.europa.eu/RegData/commissions/econ/inag/2017/03-15/ECON_AG(2017)602849_EN.pdf
activities/7
date
2017-05-11T00:00:00
body
CSL
type
Council Meeting
council
Agriculture and Fisheries
meeting_id
3533
activities/8
date
2017-05-11T00:00:00
body
EP/CSL
type
Act adopted by Council after Parliament's 1st reading
procedure/stage_reached
Old
Provisional agreement between Parliament and Council on final act
New
Awaiting signature of act
procedure/title
Old
Union programme to support specific activities in the field of financial reporting and auditing (2014-2020): co-financing of EFRAG for the period of 2017-2020
New
Union programme to support specific activities in the field of financial reporting and auditing (2014-2020): co-financing of EFRAG for the period 2017-2020
activities/6/docs/0/text
  • The European Parliament adopted by 543 votes to 59, with 45 abstentions, a legislative resolution on the proposal for a regulation of the European Parliament and of the Council amending Regulation (EU) No 258/2014 establishing a Union Programme to support specific activities in the field of financial reporting and auditing for the period of 2014-2020.

    The European Parliament’s position, adopted at first reading following the ordinary legislative procedure, amended the Commission proposal as follows:

    Evaluation of the Regulation: the amended text stated that the European Commission shall provide the European Parliament and the Council with more regular information on the joint work of the International Financial Reporting Standards Foundation (IFRS Foundation), the European Financial Reporting Advisory Group (EFRAG) and the Public Interest Oversight Board (PIOB), given that those three agencies are funded by the Union and are working for the same purpose.

    Regulation (EU) No 258/2014 requires the Commission to prepare an annual report on the activity of the IFRS Foundation as regards the development of IFRS, of PIOB and of EFRAG.

    With regard to the IFRS Foundation and the IASB, Parliament stipulated that the report shall also assess their governance, in particular in terms of transparency, the prevention of conflicts of interest and the diversity of experts, and the steps that have been taken to ensure broad representation of interests and public accountability.

    With regard to PIOB and its successor organisation, the report shall cover developments in the diversification of funding and shall assess how the work of PIOB contributes to the enhancement of audit quality.

    With regard to EFRAG, the report shall assess as of 2018:

    • whether the expanded public good criterion as recommended in the special advisor’s report has been respected during the endorsement process undertaken during the previous year;
    • whether the European Parliament and the Council have been involved at an early stage when developing financial reporting standards, in general, and in the endorsement process in particular;
    • whether the EFRAG financing structure is sufficiently diversified and balanced to enable it to accomplish its public interest mission in an independent and efficient manner; and
    • the governance of EFRAG, in particular in terms of transparency, and the steps that have been taken to ensure broad representation of interests and public accountability.

    Transparency standards: the report shall assess the actions taken within IFRS Foundation and the EFRAG in order to ensure high standards of democratic accountability, transparency, and integrity which, inter alia, concern public access to documents, open dialogue with European institutions and various stakeholders, the establishment of mandatory transparency registers.

    The amended text encouraged the IFRS Foundation, PIOB and EFRAG to participate regularly, at least annually, in hearings organised by the European Parliament in order to provide a full account of the development of international financial reporting and auditing standards.

    The Commission should also consider possible changes to the functioning and the private legal status of EFRAG in the long term.

procedure/stage_reached
Old
Awaiting Council 1st reading position / budgetary conciliation convocation
New
Provisional agreement between Parliament and Council on final act
activities/6/docs
  • url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P8-TA-2017-0141 type: Decision by Parliament, 1st reading/single reading title: T8-0141/2017
activities/6/type
Old
Vote scheduled
New
Decision by Parliament, 1st reading/single reading
procedure/stage_reached
Old
Awaiting Parliament 1st reading / single reading / budget 1st stage
New
Awaiting Council 1st reading position / budgetary conciliation convocation
activities/6/type
Old
Vote in plenary scheduled
New
Vote scheduled
activities/5/docs
  • type: Approval in committee of the text agreed at 1st reading interinstitutional negotiations title: PE602.849
activities/6/type
Old
Indicative plenary sitting date, 1st reading/single reading
New
Vote in plenary scheduled
activities/5
date
2017-03-22T00:00:00
body
unknown
type
Approval in committee of the text agreed at 1st reading interinstitutional negotiations
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Old
Economic and Social Committee
New
European Economic and Social Committee
activities/0/docs/0/celexid
CELEX:52016PC0202:EN
activities/0/docs/0/celexid
CELEX:52016PC0202:EN
activities/5/date
Old
2017-05-16T00:00:00
New
2017-04-27T00:00:00
activities/0/commission/0/DG/url
Old
http://ec.europa.eu/dgs/economy_finance/index_en.htm
New
http://ec.europa.eu/info/departments/economic-and-financial-affairs_en
activities/5/date
Old
2017-03-14T00:00:00
New
2017-05-16T00:00:00
other/0/dg/url
Old
http://ec.europa.eu/dgs/economy_finance/index_en.htm
New
http://ec.europa.eu/info/departments/economic-and-financial-affairs_en
activities/5/date
Old
2017-02-14T00:00:00
New
2017-03-14T00:00:00
activities/5/date
Old
2017-01-16T00:00:00
New
2017-02-14T00:00:00
activities/2
date
2016-10-11T00:00:00
body
unknown
type
Committee decision to open interinstitutional negotiations with report adopted in committee
activities/3
date
2016-10-11T00:00:00
body
EP
type
Vote in committee, 1st reading/single reading
committees
activities/4
body
EP
docs
url: http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A8-2016-0291&language=EN type: Committee report tabled for plenary, 1st reading/single reading title: A8-0291/2016
type
Committee report tabled for plenary, 1st reading/single reading
committees
date
2016-10-14T00:00:00
activities/5/date
Old
2017-01-17T00:00:00
New
2017-01-16T00:00:00
procedure/Modified legal basis
Rules of Procedure of the European Parliament EP 150
procedure/stage_reached
Old
Awaiting committee decision
New
Awaiting Parliament 1st reading / single reading / budget 1st stage
activities/2/date
Old
2016-12-13T00:00:00
New
2017-01-17T00:00:00
activities/2/date
Old
2016-12-01T00:00:00
New
2016-12-13T00:00:00
activities/2
date
2016-10-11T00:00:00
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EP
type
Vote scheduled in committee, 1st reading/single reading
activities/3
date
2016-12-01T00:00:00
body
EP
type
Indicative plenary sitting date, 1st reading/single reading
activities/1/committees/2/shadows/3
group
GUE/NGL
name
VIEGAS Miguel
committees/2/shadows/3
group
GUE/NGL
name
VIEGAS Miguel
activities/2
date
2016-10-11T00:00:00
body
EP
type
Vote scheduled in committee, 1st reading/single reading
activities/1/committees/2/shadows/0
group
S&D
name
BERÈS Pervenche
committees/2/shadows/0
group
S&D
name
BERÈS Pervenche
activities/1/committees/2/shadows/2
group
Verts/ALE
name
GIEGOLD Sven
activities/1/committees/2/shadows/3
group
EFD
name
VON STORCH Beatrix
committees/2/shadows/2
group
Verts/ALE
name
GIEGOLD Sven
committees/2/shadows/3
group
EFD
name
VON STORCH Beatrix
activities/1/committees/2/shadows/0
group
ECR
name
KAMALL Syed
activities/1/committees/2/shadows/1
group
ALDE
name
VAN NIEUWENHUIZEN Cora
committees/2/shadows/0
group
ECR
name
KAMALL Syed
committees/2/shadows/1
group
ALDE
name
VAN NIEUWENHUIZEN Cora
activities/1/committees/2/shadows
  • group: ENF name: KAPPEL Barbara
committees/2/shadows
  • group: ENF name: KAPPEL Barbara
activities/1/committees/2/date
2016-05-12T00:00:00
activities/1/committees/2/rapporteur
  • group: EPP name: STOLOJAN Theodor Dumitru
committees/2/date
2016-05-12T00:00:00
committees/2/rapporteur
  • group: EPP name: STOLOJAN Theodor Dumitru
activities/0/docs/0/text
  • PURPOSE: to propose the continuation of the financing of the European Financial Reporting Advisory Group (EFRAG) for the period 2017-2020.

    PROPOSED ACT: Regulation of the European Parliament and of the Council.

    ROLE OF THE EUROPEAN PARLIAMENT: the European Parliament decides in accordance with the ordinary legislative procedure and on an equal footing with the Council.

    BACKGROUND: in 2009, the European Parliament and the Council established a Community Programme to support specific activities in the field of financial services, financial reporting and auditing. This programme was extended with the Regulation (EU) No 258/2014 of the European Parliament and the Council ("Financing Regulation"). The beneficiaries of the extended programme are the International Financial Reporting Standards Foundation (IFRS Foundation), the European Financial Reporting Advisory Group (EFRAG) and the Public Interest Oversight Board (PIOB).

    EFRAG was established in 2001 as a private organisation to provide the Commission with technical expertise in financial reporting matters.

    On the basis of Regulation (EU) No 258/2014, the IFRS Foundation and the PIOB benefit from Union co-financing in the form of operating grants until 31 December 2020.

    In view of the uncertainties related to a major governance reform the organisation was undergoing in 2014, the co-legislators decided to limit its financing period until the end of 2016 and called on the Commission to submit a legislative proposal, if appropriate, to continue financing of EFRAG after 31 December 2016.

    On 12 November 2013, the Commission published the report of Philippe Maystadt, special advisor to the Commissioner responsible for internal market and services, in which he outlined potential reforms to EFRAG governance aimed at reinforcing the Union's contribution to the development of international accounting standards.

    The Commission closely monitored the implementation of the reform of EFRAG governance and found that it successfully implemented the conclusions of the special advisor’s report, by implementing a new governance structure which has increased the legitimacy and representativeness of EFRAG. As a result, EFRAG is now well equipped to strengthen the legitimacy of its positions and significantly contribute to the objective of Europe speaking with one voice. 

    Therefore, it is appropriate to propose to continue financing of EFRAG for the period 2017-2020 in order to meet the long-term objectives of the Union programme to support specific activities in the field of financial reporting and auditing.

    CONTENT: this proposal seeks to amend Regulation (EU) No 258/2014 in order to increase the budget of the Union Programme to support specific activities in the field of financial reporting and auditing for the period of 2014-2020 and to support the activities of EFRAG, which contribute to the achievement of the policy objectives of the Union in relation to financial reporting.

    In line with the Financing Regulation, EFRAG was allocated an amount of EUR 9 303 000 for the period 2014-2016. The current regulation proposes to allocate to EFRAG an additional amount of EUR 13 831 000 for the period 2017-2020.

    BUDGETARY IMPLICATIONS: the proposed regulation prolongation of the financing of EFRAG for the period 2017-2020 will increase the total budget of the programme to support specific activities in the field of financial reporting and auditing from EUR 43.176 million to approximately EUR 57 million.

activities/1
date
2016-04-28T00:00:00
body
EP
type
Committee referral announced in Parliament, 1st reading/single reading
committees
procedure/dossier_of_the_committee
ECON/8/06240
procedure/stage_reached
Old
Preparatory phase in Parliament
New
Awaiting committee decision
activities
  • date: 2016-04-13T00:00:00 docs: url: http://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/com/2016/0202/COM_COM(2016)0202_EN.pdf title: COM(2016)0202 type: Legislative proposal published celexid: CELEX:52016PC0202:EN body: EC type: Legislative proposal published commission: DG: url: http://ec.europa.eu/dgs/economy_finance/index_en.htm title: Economic and Financial Affairs Commissioner: MOSCOVICI Pierre
committees
  • body: EP responsible: False committee_full: Budgets committee: BUDG
  • body: EP responsible: False committee_full: Budgetary Control committee: CONT
  • body: EP responsible: True committee_full: Economic and Monetary Affairs committee: ECON
  • body: EP responsible: False committee_full: Legal Affairs committee: JURI
links
other
  • body: EC dg: url: http://ec.europa.eu/dgs/economy_finance/index_en.htm title: Economic and Financial Affairs commissioner: MOSCOVICI Pierre
procedure
Mandatory consultation of other institutions
Economic and Social Committee
reference
2016/0110(COD)
subtype
Legislation
legal_basis
Treaty on the Functioning of the EU TFEU 114
stage_reached
Preparatory phase in Parliament
summary
Amending Regulation (EU) No 258/2014
instrument
Regulation
title
Union programme to support specific activities in the field of financial reporting and auditing (2014-2020): co-financing of EFRAG for the period of 2017-2020
type
COD - Ordinary legislative procedure (ex-codecision procedure)
subject
2.50.08 Financial services, financial reporting and auditing