STRUCTURAL FUNDS 20072013

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STRUCTURAL FUNDS 2007-2013

• Presentation given at EUROPEAN FOUNDATION FOR
  STREET CHILDREN WORLDWIDE on the occasion of the
  Fundraising and Project Management Seminar on
• EU funding and assistance programmes of
  relevance to NGOs from Europe and developing
  countries working for children and youth at risk
• Ana Maria Nogueira - DG EMPL
• April 28th 2006

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Timeline

• 2001 Second Cohesion report
• Feb 04 Financial Perspectives proposal 07-13
  Third Cohesion report
• July 04 Proposal SF regulations
• Sep 04 Start debate Council EP other
  institutions
• June 05 proposal Strategic Guidelines for
  Cohesion
• Dec 05/ Adoption of financial perspectives

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The legislative proposals

• A General Regulation setting the main objectives
  and eligibility rules for interventions,
  programming and management of the funds
• 3 Funds' Regulations ERDF, ESF, Cohesion Fund
  stipulating the arrangements specific to each
  fund
• A regulation establishing a European grouping for
  cross-border co-operation
• One Commission's implementing Regulation

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Why the need of change

• To address enlargement challenges
• To concentrate on Lisbon and Gothenburg agendas
• To give more visibility to the results of
  cohesion policy
• To address the difficulties encountered in the
  implementation of current programming

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Re-orientation of Cohesion policy based on the
priorities of the Union Lisbon and Gothenburg

• Competitiveness ? innovation, research, education
  and accessibility
• Employment and social inclusion
• Environment and risk prevention

Articulation around the 3 pillars of sustainable
development
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Impact of enlargement

• From 380 to 454 million (EU25) and then to 485
  million (EU 27)
• GDP per head drops (-12.5 EU 25 -18 EU27)
• BUT NMS bring dynamic growth (4 per year
  against 2.5 in EU 15)

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Impact of enlargement

• The development gap between regions doubles the
  average GDP in Obj 1 is 69 in the NMS 46
• Employment rate EU15 64 - NMS 56
• Number of unemployed reaches 18 million
• Rate 15 in 10 NMS 8 in EU 15

Population getting the highest rate of aid from
Cohesion policy goes from 83 million to 123
million
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Other challenges for the future

• Globalisation and technological progress
• Adjusting to change
• Demographic trends
• Increase growth in the
• EU

Loss of 1 million workers per year
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Principles of the SF reform

• Concentration a more strategic approach
  geographic thematic
• Simplification
• less objectives-less funds
• simpler programming
• more flexible management
• Decentralisation stronger role for the regions
  and local players

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Principles

• Concentration
• Simplification
• Decentralisation
• while keeping the main principles that have
  proved the Community added value
• programming
• partnership
• evaluation
• additionality
• shared management
• accent on quality and performance

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A more strategic approach and in line with the
Subsidiarity principle for the three stages of
programming

• Community Strategic Guidelines (EU level)
  linking cohesion objectives with Lisbon agenda
• Strategic Reference Framework (national level)
  organisation of coherence of Community, national
  and regional priorities
• Operational Programmes thematic\geographic
  analysis, strategy, priorities

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The new architecture 3 Objectives-3 Funds

• Convergence ERDF, ESF,CF
• regions (regional GDP per capita lt75 of the
  average)
• Regions concerned by the statistical effect
  phasing-out
• CF (GNI per capita lt90 of the average)
• Regional competitiveness and employment
  ERDF,ESF
• "phasing-in" regions
• all other parts of the Union
• European territorial co-operation ERDF

No Community Initiatives
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The political priorities

• Convergence ? support growth and job creation in
  the least developed MS and regions
• Regional Competitiveness and Employment ? helping
  regions and people to anticipate and respond to
  change
• Territorial co-operation ?promoting a balanced
  integration of the European territory

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Special treatment

• Regions affected statistically by enlargement
• Outermost regions
• Regions with geographical handicaps
• Certain islands
• Mountain areas
• Sparsely-populated regions in the far North of EU

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A decentralised and territorial approach
Each region may benefit from a programme, which
it implements

• Integration of the urban dimension with the
  possibility of sub-delegation to the urban
  authorities
• Attention given to zones with a geographic or
  natural handicap ?islands, mountains, rural zones
  with low population density, previous external
  border areas may benefit from an increased rate
  of co-financing
• Nordic zones ? very low population density taken
  into account in the final allocation
• Ultra-peripheral regions ? covered by a specific
  allocation compensating for extra costs

Territorial specificities are taken into account
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Cohesion policy present / future acquis
Structural instruments
present
Pachetul financiar-instrumentele structurale
Simplification
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Structural funds - programming cycle -
present
Simplification
Cohesion Strategic Guidelines adopted by Council
National Development Plan
Community Support Framework
National Strategic Reference Framework
Operational Programmes (high priority level,
most important actions)
Operational Programmes
X
future
Programme Complements
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Strategic guidelines, programming and follow-up
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Significant simplification

• 3 funds in place of 6 ? ERDF, Cohesion Fund, ESF
• Mono-fund programmes
• Integration of projects of the Cohesion Fund in
  multi-annual programming
• Identical management rules for the Cohesion Fund
  and the Structural Funds
• Programming and financial management by priority
  and no longer by measure
• National eligibility rules for expenditure and no
  longer Community rules

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Concentration

• Budgetary resources are concentrated on those who
  need them most (budgetary concentration)
• 78,54 in favour of Convergence (81,7)
• Less-developed regions
• Less-developed countries
• Regions concerned by the statistical effect
  linked to enlargement (drop in GDP per capita)
• 17,22 (15,9)in favour of Regional
  Competitiveness and Employment
• 3,94 (2,42)for cross-border and trans-national
  co-operation
• Programmes will focus on the Lisbon and
  Gothenburg priorities (thematic concentration)

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Comparison between Commission proposal and
Council agreement
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Objectives, Structural Funds and instruments
2007-2013
Objectives
Structural Funds and instruments
ERDF
ESF
Convergence
Cohesion Fund
ERDF
ESF
Regional Competitiv. and Employment
European territorial Cooperation
ERDF
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Cohesion Policy 2007-2013 3 Objectives Budget
EUR 307.6 bn (0.37 of EU-GNI)
European territorial co-operation
objective 2.44 (EUR 7.5 bn.)
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The regulatory framework
Council by unanimity, assent EP ERDF, ESF
Co-decision Cohesion Fund assent
EP Co-decision
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Programming Earmarking "Lisbon priorities"
Presidency conclusions stipulate that expenditure
targets will be set under both the convergence
(60) and regional competitiveness and employment
(75) objectives for policies which contribute
directly to achieving the Lisbon objectives.
The Commission currently prepares a list of
those categories of expenditure concerning
research and innovation, human capital, business
services, major European infrastructures and
energy efficiency and renewables. Exception
these provisions shall not apply to Member States
that acceded the Union after 2004.
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The European Social Fund 2007-2013 Jobs and new
opportunities for all
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Legal basis

• Article 146 of the Treaty establishes that the
  ESF aims to render the employment of workers
  easier and to increase their geographical and
  occupational mobility within the Community, and
  to facilitate their adaptation to industrial
  changes and to changes in production systems, in
  particular through vocational training and
  retraining
• The ESF Regulation translates Article 146 of the
  Treaty into concrete provisions on the tasks,
  priorities, and eligible activities of the ESF

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The new FSE

• Reinforced links with EU employment and social
  inclusion priorities
• Contributes to Convergence and Regional
  Competitiveness and Employment
• Mainstream of innovative actions and
  trans-national cooperation
• Priority for administrative capacity development
• Promotion of good governance and partnership

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Reinforced links with the EES

• Strengthen economic and social cohesion by
  supporting MS policies aiming at
• full employment,
• quality and productivity at work,
• social inclusion and
• reduction of regional employment disparities
• Take account of EU objectives in the field of
  social inclusion and gender equality
• Concentration on the employment recommendations

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ESF priorities Convergence and Regional Comp.
(I)

• Adaptability of workers and enterprises ?
• Development and implementation of lifelong
  learning strategies and systems, dissemination of
  ICT and management skills, promotion of
  entrepreneurship and innovation
• Anticipation and positive management of change
  through work organisation, identification of
  future skill needs and support to workers
  affected by restructuring

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ESF priorities Convergence and Regional Comp.
(II)

• Enhancing access to employment ?
• Modernisation of labour market institutions
• Active and preventive measures ensuring early
  identification of needs
• Participation and progress of women in
  employment, reduce gender segregation, reconcile
  work and private life
• Strengthen social integration and employment of
  migrants

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ESF priorities Convergence and Regional
Comp.(III)

• Reinforcing social inclusion of people at
  disadvantage and combating discrimination ?
• pathways to integration in employment through
  employability measures and accompanying actions
  and social support and care services
• diversity in the work place and awareness raising
  and involvement of local communities and
  enterprises to combat discrimination

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ESF priorities Convergence and Regional
Comp.(IV)

• Mobilising for reforms in employment and
  inclusion ?
• development of partnerships and pacts through
  networking at national, regional and local level

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ESF priorities Convergence (I)

• Investment in human capital ?
• reforms in Education and Training systems to
  increase relevance to the LM, update teachers'
  skills
• Increased participation in Education and Training
  systems to reduce early school leaving and
  increase access to initial vocational and
  tertiary education
• Development of human potential in research and
  innovation

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ESF priorities Convergence (II)

• Building of Institutional Capacity of public
  administrations and public services ?
• support to policy and programme design and
  evaluation
• capacity building in the delivery of policies,
  programmes and legislation

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Mainstreaming innovation and trans-nationality

• Promotion and mainstreaming of innovative and
  trans-national action within each programme
• Each Managing Authority will choose the themes
  for innovation
• Trans-national co-operation ? specific axis or
  programme
• MS ensure complementary and coherence with other
  Community programmes

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Promotion of good governance and partnership

• ESF shall be implemented at the appropriate
  territorial level according to each MS
  specificities
• Greater involvement of Social Partners and
  consultation of non-governmental stakeholders in
  ESF programming, implementation and monitoring
• "An appropriate amount" of ESF resources under
  Convergence for capacity building and activities
  undertaken by Social Partners
• Adequate access of NGO to funded activities

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Eligibility

• Expenditure ineligible for ESF support ?
• Reimbursable VAT
• Interests on debt
• Purchase of infrastructure, depreciable movables
  real state and land
• The ERDF and the ESF may finance, in a
  complementary manner and subject to a limit of
  10 of each priority axis of an operational
  programme, actions falling within the scope of
  assistance from the other Fund, provided that
  they are necessary for the satisfactory
  implementation of the operation and are directly
  linked to it (art.33.2 GR)

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2000-2006/2007-2013 Instruments and Objectives
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Next steps
Budget 2007-2013 Council, European Parliament
and Commission need to agree upon a new
Inter-institutional Agreement (April/May?). Cohes
ion Policy regulations and Strategic Guidelines
for Cohesion the set of five regulations will
possibly be agreed by the Council (February 2006)
and by Council and EP (June/July 2006).
Programming and implementation Member States
and regions to propose National Strategic
Reference Frameworks and Operational Programmes
(second half of 2006), which will be adopted by
the Commission (2006/2007).
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Thank you for your attention For more
information, please visit http//europa.eu.int/c
omm/employment_social/esf2000/index-en.htm