BETA


2020/0105(COD) Fund for European Aid to the Most Deprived (FEAD) 2014-2020: specific measures for addressing the COVID-19 crisis

Progress: Procedure completed

RoleCommitteeRapporteurShadows
Lead EMPL ĎURIŠ NICHOLSONOVÁ Lucia (icon: ECR ECR) CASA David (icon: EPP EPP), BENIFEI Brando (icon: S&D S&D), PÎSLARU Dragoş (icon: Renew Renew), LANGENSIEPEN Katrin (icon: Verts/ALE Verts/ALE), REIL Guido (icon: ID ID), RAFALSKA Elżbieta (icon: ECR ECR), GUSMÃO José (icon: GUE/NGL GUE/NGL)
Lead committee dossier:
Legal Basis:
TFEU 175-p3

Events

2021/03/02
   EC - Commission response to text adopted in plenary
Documents
2021/02/16
   Final act published in Official Journal
2021/02/10
   CSL - Draft final act
Documents
2021/02/10
   CSL - Final act signed
2021/02/10
   EP - End of procedure in Parliament
2021/02/02
   EP/CSL - Act adopted by Council after Parliament's 1st reading
2021/01/21
   EP - Decision by Parliament, 1st reading
Details

The European Parliament adopted 649 votes to 7, with 31 abstentions, a legislative resolution on the proposal for a regulation of the European Parliament and of the Council amending Regulation (EU)

No 223/2014 as regards the introduction of specific measures for addressing the COVID19 crisis.

Parliament adopted its position at first reading in accordance with the ordinary legislative procedure by amending the Commission proposal as follows:

Coping with the impact of COVID-19 on the poorest people

The amendment to Regulation (EU) No 223/2014 on the Fund for European Aid to the Most Deprived (FEAD) aims to address the impact of the spread of COVID-19 and its socio-economic repercussions on the most deprived persons.

The adapted regulation would allow Member States to continue to use the additional funds made available for post-COVID-19 recovery under the REACT-EU initiative in 2021 and 2022. Member States could choose to increase the resources provided for in the FEAD Regulation for food aid and other basic aid for the most deprived persons.

The amended text recalls that since its establishment in 2014, the Fund has been able to benefit 13 million people a year, including approximatively 4 million children. However, it underlines that the COVID-19 crisis has led to severe economic and social consequences and has exacerbated the situation of more than 20 % of the EU population who are at risk of poverty or social exclusion, has deepened social divides, and has increased job losses, unemployment rates and inequalities.

Co-financing rates

With a view to alleviating the burden on public budgets regarding crisis repair actions in the context of the outbreak of COVID-19 and preparing a social, resilient and sustainable recovery of the economy and society, the amended Regulation provides that it is appropriate that Member States be given the exceptional possibility to request a co-financing rate of up to 100 % to be applied to support from the additional resources.

Documents
2021/01/20
   EP - Results of vote in Parliament
2021/01/20
   EP - Debate in Parliament
2021/01/13
   EP - Approval in committee of the text agreed at 1st reading interinstitutional negotiations
2020/12/18
   CSL - Coreper letter confirming interinstitutional agreement
2020/12/18
   EP - Text agreed during interinstitutional negotiations
Documents
2020/10/07
   EP - Committee decision to enter into interinstitutional negotiations confirmed by plenary (Rule 71)
2020/10/05
   EP - Committee decision to enter into interinstitutional negotiations announced in plenary (Rule 71)
2020/10/02
   EP - Committee report tabled for plenary, 1st reading
Details

The Committee on Employment and Social Affairs adopted the report by Lucia ĎURIŠ NICHOLSONOVÁ (ECR, SK) on the proposal for a regulation of the European Parliament and of the Council

amending Regulation (EU) No 223/2014 as regards the introduction of specific measures for addressing the COVID-19 crisis.

As a reminder, the Commission proposal aims to amend Regulation (EU) No 223/2014 so that Member States may provide additional resources to the Fund for European Aid to the Most Deprived (FEAD) until 2022. The financing of the main post-crisis recovery measures and support for the most deprived may therefore continue uninterrupted.

The committee recommended that the European Parliament's position adopted at first reading under the ordinary legislative procedure should amend the Commission's proposal as follows.

Increased resources in response to COVID-19

While the Commission proposes that Member States may voluntarily increase the overall resources provided for in the FEAD Regulation to deal with the COVID-19 pandemic, Members proposed that Member States

shall be increased by Member States in response to the COVID-19 pandemic by a minimum share amounting to at least 3% of the additional resources, in accordance with Regulation (EU) No 1303/2013. The increase may affect the budgetary commitments for 2020, 2021 and 2022.

In order to provide for an effective response to the social impact of the COVID-19 outbreak on the most deprived persons, and by way of derogation from Article 92(7) of Regulation (EU) No 1303/2013, Members considered that a share of the additional resources should also be allocated by Member States to the FEAD (before or at the same time as the allocation to the ERDF and the ESF).

In order to ensure immediate relief for beneficiaries, Member States shall commit to taking all necessary steps to launch advance payments as quickly as possible.

Financial transfers

Possibilities for financial transfers under the Investment for Growth and Jobs goal between ERDF, ESF and FEAD shall also be introduced for additional resources.

Considering the vital role of the ESF in eradicating poverty and fighting social exclusion, the ESF share shall not be decreased below the current legal obligation of 23.1% at Union level.

Breakdown of resources

The Commission shall define the breakdown of the additional resources for each Member State on the basis of an allocation method based on the most recent objective statistical data available on the relative prosperity of Member States, including equality data, paying particular attention to groups such as homeless people and people living in institutions, which are not usually the subject of data from the statistical offices of the Member States.

The Commission shall set out the breakdown of the additional resources for each Member State on the basis of an allocation method based on the latest available objective statistical data concerning Member States’ relative prosperity and statistical data, including equality data, on the extent of the effect of the current crisis on their economies and societies, with special focus on the most deprived, such as homeless people and people living in segregated institutions, who are traditionally not reached by Member State statistical offices.

To that end, relevant and comparable data shall be collected with the involvement of non-governmental organisations and local authorities working in the field of poverty and social exclusion and in the provision of services to the most deprived persons.

Implementation

The report stressed that the mode of delivery of FEAD shall not be modified as a consequence of this Regulation and FEAD shall remain under shared management.

In addition, gender aspects shall be considered throughout the preparation, implementation, monitoring and evaluation of the Fund, in accordance with Article 21 of the Charter of Fundamental Rights of the European Union.

Documents
2020/10/01
   EP - Vote in committee, 1st reading
2020/10/01
   EP - Committee decision to open interinstitutional negotiations with report adopted in committee
2020/09/03
   EP - Amendments tabled in committee
Documents
2020/07/30
   EP - Committee draft report
Documents
2020/07/02
   ES_PARLIAMENT - Contribution
Documents
2020/06/25
   EP - ĎURIŠ NICHOLSONOVÁ Lucia (ECR) appointed as rapporteur in EMPL
2020/06/17
   EP - Committee referral announced in Parliament, 1st reading
2020/06/10
   ESC - Economic and Social Committee: opinion, report
Documents
2020/05/28
   EC - Legislative proposal published
Details

PURPOSE: to strengthen the Fund for European Aid to the Most Deprived (FEAD) in order to deal with the COVID-19 crisis.

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 on an equal footing with the Council.

BACKGROUND: the current situation caused by the COVID-19 pandemic is unprecedented and requires exceptional measures to be taken with regard to aid provided to the most deprived under the Fund for European Aid to the Most Deprived (FEAD).

The first “Coronavirus Response Investment Initiative” ( CRII ), a package of measures which entered into force on 1 April 2020, introduced a number of important changes to the legislative framework applicable to the European Structural and Investment Funds that allow for a more effective response in the current situation. Complementary measures were adopted under the “Coronavirus Response Investment Initiative Plus” ( CRII Plus ).

This package also included amendments to Regulation (EU) No 223/2014 (FEAD Regulation), through Regulation (EU) 2020/559 of the European Parliament and of the Council introducing specific measures of additional flexibility and liquidity for Member States to address the COVID-19 pandemic under the FEAD.

The direct and indirect effects of the crisis have already taken their toll in many sectors. The process of recovery shall take time and the need for further lockdown measures cannot be excluded. In this context, there is a serious risk that the number of people suffering from food and material deprivation shall increase and therefore further action is required in order to respond to the social consequences of the COVID-19 pandemic to ensure a socially fair recovery in line with the European Pillar of Social Rights.

The Commission therefore proposes a further amendment to the Regulation laying down common provisions for the European Structural and Investment Funds ( REACT-EU ) and the FEAD Regulation in order to provide additional resources to these Funds until 2022.

CONTENT: the Commission proposes to amend Regulation (EU) No 223/2014 so that Member States can provide additional resources to the FEAD until 2022.

This shall make additional resources available for basic food and material and accompanying measures, as well as for specific social inclusion measures. The financing of the main post-crisis recovery measures and support for the most deprived may therefore continue uninterrupted.

Voluntary increase of resources in response to the COVID-19 outbreak

It is proposed that Member States may voluntarily increase the overall resources provided for in the FEAD Regulation to deal with the COVID-19 pandemic. Member States should consider this possibility taking into account the increase in the number of the most deprived since the emergence of the pandemic. The increase in resources may have an impact on the budgetary commitments for 2020, 2021 and 2022.

In order to ensure that Member States have sufficient financial means to prepare for the economic recovery, the proposal provides for a higher level of pre-financing for the rapid implementation of the actions supported by the additional resources. In addition to the pre-financing provided for in the Regulation, the Commission shall pay a pre-financing amount of 50% of the additional resources allocated for the year 2020 following the Commission decision approving the amendment to a programme for the allocation of the additional resources.

In order to alleviate the burden on public budgets to repair the damage caused by the crisis, it is foreseen that the additional resources shall not be co-financed.

Scope of technical assistance

The proposal specifies that at the initiative of the Member States, and subject to a ceiling of 5% of the Fund's allocation at the time of adoption of the operational programme and 5% of the additional resources, the operational programme may finance:

- preparatory, management, monitoring, administrative and technical assistance, audit, information, control and evaluation measures necessary for the implementation of the Fund, including the preparation and operating costs of voucher systems if these costs are borne by the managing authority or another public body which is not a partner organisation;

- technical assistance measures to partner organisations and any other actor associated with the implementation of the Fund, as well as capacity building measures for partner organisations and any other actor associated with the implementation of the Fund, including measures to stimulate crisis response capacities in the context of the COVID-19 pandemic.

These actions may concern the subsequent programming period, including to ensure the continuation of the support by this Fund through other Funds.

Budgetary implications

The proposal will lead to:

- additional commitments in the year 2020, financed from an increase of the ceiling of the 2014-2020 Multiannual Financial Framework;

- additional commitments for the years 2021 and 2022, financed from external assigned revenues.

The proposal shall trigger additional payments in the years 2020 to 2025.

Documents

Activities

Votes

A9-0174/2020 - Lucia Ďuriš Nicholsonová - Am 14 #

2021/01/20 Outcome: +: 649, 0: 31, -: 7
DE FR IT ES PL RO NL HU CZ PT BG EL AT BE IE SE DK SK FI HR LT LV SI MT CY LU EE
Total
92
78
74
59
51
33
27
21
21
19
17
20
18
20
13
19
14
14
14
12
10
8
8
6
6
6
7
icon: PPE PPE
182

Denmark PPE

For (1)

1

Latvia PPE

2

Malta PPE

2
2

Luxembourg PPE

2

Estonia PPE

For (1)

1
icon: S&D S&D
140

Greece S&D

2

Lithuania S&D

For (1)

1

Latvia S&D

2

Slovenia S&D

2

Cyprus S&D

2

Luxembourg S&D

For (1)

1

Estonia S&D

2
icon: Renew Renew
96

Italy Renew

For (1)

1

Hungary Renew

2

Austria Renew

For (1)

1

Ireland Renew

2

Sweden Renew

2

Slovakia Renew

2

Finland Renew

3

Croatia Renew

For (1)

1

Lithuania Renew

2

Latvia Renew

For (1)

1

Slovenia Renew

2

Luxembourg Renew

2

Estonia Renew

3
icon: Verts/ALE Verts/ALE
71

Spain Verts/ALE

3

Poland Verts/ALE

For (1)

1

Netherlands Verts/ALE

2

Czechia Verts/ALE

3

Portugal Verts/ALE

1

Austria Verts/ALE

3

Belgium Verts/ALE

3

Ireland Verts/ALE

2

Sweden Verts/ALE

3

Denmark Verts/ALE

2

Finland Verts/ALE

3

Lithuania Verts/ALE

2

Latvia Verts/ALE

1

Luxembourg Verts/ALE

For (1)

1
icon: ECR ECR
61

Romania ECR

1

Netherlands ECR

4

Bulgaria ECR

2

Greece ECR

1
3

Slovakia ECR

Abstain (1)

2

Croatia ECR

For (1)

1

Lithuania ECR

1

Latvia ECR

2
icon: ID ID
74

Netherlands ID

Against (1)

1

Czechia ID

For (1)

Against (1)

2

Austria ID

3

Denmark ID

Abstain (1)

1

Finland ID

2

Estonia ID

Against (1)

1
icon: The Left The Left
38

Netherlands The Left

For (1)

1

Czechia The Left

1

Portugal The Left

3

Belgium The Left

For (1)

1

Sweden The Left

For (1)

1

Denmark The Left

1

Finland The Left

For (1)

1

Cyprus The Left

2
icon: NI NI
25

Germany NI

2

Netherlands NI

1

Hungary NI

1

Greece NI

Against (1)

3

Slovakia NI

Abstain (1)

2

Croatia NI

Abstain (1)

2
AmendmentsDossier
23 2020/0105(COD)
2020/09/03 EMPL 23 amendments...
source: 657.167

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

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  • The Committee on Employment and Social Affairs adopted the report by Lucia ĎURIŠ NICHOLSONOVÁ (ECR, SK) on the proposal for a regulation of the European Parliament and of the Council
  • amending Regulation (EU) No 223/2014 as regards the introduction of specific measures for addressing the COVID-19 crisis.
  • As a reminder, the Commission proposal aims to amend Regulation (EU) No 223/2014 so that Member States may provide additional resources to the Fund for European Aid to the Most Deprived (FEAD) until 2022. The financing of the main post-crisis recovery measures and support for the most deprived may therefore continue uninterrupted.
  • The committee recommended that the European Parliament's position adopted at first reading under the ordinary legislative procedure should amend the Commission's proposal as follows.
  • Increased resources in response to COVID-19
  • While the Commission proposes that Member States may voluntarily increase the overall resources provided for in the FEAD Regulation to deal with the COVID-19 pandemic, Members proposed that Member States
  • shall be increased by Member States in response to the COVID-19 pandemic by a minimum share amounting to at least 3% of the additional resources, in accordance with Regulation (EU) No 1303/2013. The increase may affect the budgetary commitments for 2020, 2021 and 2022.
  • In order to provide for an effective response to the social impact of the COVID-19 outbreak on the most deprived persons, and by way of derogation from Article 92(7) of Regulation (EU) No 1303/2013, Members considered that a share of the additional resources should also be allocated by Member States to the FEAD (before or at the same time as the allocation to the ERDF and the ESF).
  • In order to ensure immediate relief for beneficiaries, Member States shall commit to taking all necessary steps to launch advance payments as quickly as possible.
  • Financial transfers
  • Possibilities for financial transfers under the Investment for Growth and Jobs goal between ERDF, ESF and FEAD shall also be introduced for additional resources.
  • Considering the vital role of the ESF in eradicating poverty and fighting social exclusion, the ESF share shall not be decreased below the current legal obligation of 23.1% at Union level.
  • Breakdown of resources
  • The Commission shall define the breakdown of the additional resources for each Member State on the basis of an allocation method based on the most recent objective statistical data available on the relative prosperity of Member States, including equality data, paying particular attention to groups such as homeless people and people living in institutions, which are not usually the subject of data from the statistical offices of the Member States.
  • The Commission shall set out the breakdown of the additional resources for each Member State on the basis of an allocation method based on the latest available objective statistical data concerning Member States’ relative prosperity and statistical data, including equality data, on the extent of the effect of the current crisis on their economies and societies, with special focus on the most deprived, such as homeless people and people living in segregated institutions, who are traditionally not reached by Member State statistical offices.
  • To that end, relevant and comparable data shall be collected with the involvement of non-governmental organisations and local authorities working in the field of poverty and social exclusion and in the provision of services to the most deprived persons.
  • Implementation
  • The report stressed that the mode of delivery of FEAD shall not be modified as a consequence of this Regulation and FEAD shall remain under shared management.
  • In addition, gender aspects shall be considered throughout the preparation, implementation, monitoring and evaluation of the Fund, in accordance with Article 21 of the Charter of Fundamental Rights of the European Union.
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2020-10-07T00:00:00
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  • date: 2020-06-10T00:00:00 docs: url: https://dmsearch.eesc.europa.eu/search/public?k=(documenttype:AC)(documentnumber:2583)(documentyear:2020)(documentlanguage:EN) title: CES2583/2020 type: Economic and Social Committee: opinion, report body: ESC
  • date: 2020-07-30T00:00:00 docs: title: PE655.741 type: Committee draft report body: EP
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  • date: 2020-07-08T00:00:00 title: Indicative plenary sitting date, 1st reading/single reading
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