EUROPEAN COMMISSION

Brussels, 16.7.2025

COM(2025) 565 final

ANNEXES

to the

Proposal for a

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

establishing the European Fund for economic, social and territorial cohesion, agriculture and rural, fisheries and maritime, prosperity and security for the period 2028-2034 and amending Regulation (EU) 2023/955 and Regulation (EU, Euratom) 2024/2509

{SWD(2025) 565 final}

ANNEX I
Methodology for the calculation of the Union financial contribution for each Member State pursuant to Article 10(2), point (a)

This Annex sets out the methodology for calculating the financial contribution available for each Member State in accordance with Article 10(2), point (a).

The methodology takes into account the following variables with regard to each Member State:

–population (2024);

–population at risk of poverty or social exclusion (AROPE) living in rural areas (2024);

–the Member State’s gross national income (GNI) per capita, measured in purchasing power standard (2023);

–regional gross domestic product (GDP) per capita, measured in purchasing power standard at NUTS-3 level (average 2021-2022-2023);

–the direct payments per potentially eligible hectare (2027, hectares based on Potentially Eligible Area 2022);

–total asylum applicants, positive decisions, protection and returns (Eurostat, average 2022-2023-2024);

–geographical data on country borders (Eurostat GIS database) and the number of visa applications for short stays.

The financial contribution available for each Member State is the consolidated amount for the implementation of the plan established as follows:

FCi =

Ai × amount available for Member States NRPs excluding amounts set out in Article 4 of Regulations [Migration], Article 4 of Regulation [Borders], Article 4 of Regulation [Internal Security] and Regulation (EU) 2023/955+

Bi × amounts set out in Article 4 of Regulations [Migration], Article 4 of Regulation [Borders], Article 4 of Regulation [Internal Security]+

Ci × amount available for the Social Climate Fund in accordance with Article 10(3) of this Regulation

This consolidation of amounts is undertaken in accordance with:

·Article 4 of Regulation xxx/xxx establishing the Union support for the well-functioning of the Schengen area, European integrated border management and European visa policy for the period from 1 January 2028 to 31 December 2034;

·Article 4 of Regulation xxx/xxx establishing the Union support for asylum, migration and integration for the period from 1 January 2028 to 31 December 2034;

·Article 4 of Regulation xxx/xxx establishing the Union support for internal security for the period from 1 January 2028 to 31 December 2034;  

·Article 10 and Annex II of Regulation (EU) 2023/955 establishing a Social Climate Fund and amending Regulation (EU) 2021/1060, Annex II.

where,

Ai General key

with

and

where for each Member State i and NUTS level 3 region r

–Pop is the population at 1 January 2024 (Eurostat online database code: demo_gind, tps00001);

–AROPE ra is the population at risk of poverty ord social exclusion in rural areas in 2024 (Eurostat online database code: https://ec.europa.eu/eurostat/databrowser/view/ilc_peps13n/default/table?lang=en ilc_peps13n, 2024);

–GNI pc PPS is gross national income (GNI) per capita measured in purchasing power standards (Eurostat online database code: nama_10_pp, 2023);

–GDP pc PPS r is the regional gross domestic product (GDP) per capita measured in purchasing power standards (Eurostat online database code: nama_10r_3gdp, average 2021-23); 

–DPi is the amount of direct payments estimated in budget year 2027 (excluding POSEI/SAI); 

–ha is hectares declared as eligible for support under the (“potential eligible area”; claim year 2022).

The αi of all Member States is normalised to ensure that the sum of all αi equals 100%.

To avoid an excessive concentration of resources, a cap and safety net apply for the general allocation key Ai:

–For all Member States, the allocation share αi cannot be lower than 80% and not be higher than 105% of its allocation share in the 2021-2027 total of all relevant pre-allocated funds under shared management, as calculated by the Commission based on the initial 2020 allocation of pre-allocated funds before transfers 1 . The αi of all Member States is proportionally adjusted to ensure that the sum of all αi equals 100%.

Bi Home affairs key 

where for each Member State i

–sea are sea borders, and external are external land borders are geographical borders defined by geodesic length based on ellipsoid ETRS89 (Eurostat/GISCO, 2024 20M EPSG: 3035); 

–asylum is the Member State share in the number of asylum applicants (Eurostat online database code: migr_asyappctza, average 2022-2024);

–protection is the Member State share in the number of first instance positive decisions on applications (Eurostat online database code: migr_asydcfsta, average 2022-2024);

–temporary is the Member State share in the number of beneficiaries of temporary protection (Eurostat online database code: migr_asytpsm, average 2022-2024);

–returns is the Member State share in third country nationals returned following an order to leave (Eurostat online database code: migr_eirtn, average 2022-2024); 

–surface is geographical area defined by geodesic length based on ellipsoid ETRS89 (Eurostat/GISCO, 2024 20M EPSG: 3035);

–visa is the Member State share in the number of total uniform visas applied for short stays (DG HOME).

Allocation shares shall be rounded to the nearest 0.01. The cut-off date for historical data used for the application of the methodology in this Annex is 15 June 2025.

The financial allocation of a Member State under the Fund takes into account the special provisions laid down in Protocol No 19 and Protocol No 22 annexed to the TEU and the TFEU in relation to Denmark and Ireland. The allocation for Lithuania includes resources for the Special Transit Scheme laid down in Article 6 of Regulation (EU) (BORDERS).

Any amounts pertaining from Article 12 shall be covered within the limits of the financial allocation for each Member State on a pro rata basis.

ANNEX II
Methodology for the calculation of the minimum amount for less developed regions

This Annex sets out the methodology for calculating the minimum amounts that Member States shall allocate to their less developed regions as per Article 10(2), point (a)(i), and Article 22(2), point (h)(ii)

Earmarking for the less developed regions, r (LDRr) within a Member State i =

where for each Member State i and NUTS level 2 region r:

–Env is defined as the financial allocation for the implementation of the National and Regional Partnership Plans defined in Article 10(2)(a) minus the allocations specified in Article 10(2)(a)(ii)

–Popi is average population in Member State i for 2021 to 2023 (Eurostat online datacode: demo, demo_r_d2jan)

–Pop in LDRr is the average population in region r for 2021 to 2023 (Eurostat online datacode: demo, demo_r_d2jan)

–GNI pc PPS is average gross national income (GNI) per capita for 2021 to 2023 measured in purchasing power standards (Eurostat online data code: nama_10_pp)

For all Member States, the amount allocated to less developed regions shall not be lower than 90% and not be higher than 112.5% of the corresponding amount allocated to less developed regions under the 2021–2027 pre-allocated funds under shared management, as calculated by the Commission.

The resources to be allocated to less developed regions in accordance with Article 10(2)(a)(i) shall not be counted against the amounts set out in Article 10(2)(a)(ii).

ANNEX III
Methodology for the calculation of the Union financial contribution for each Member State under the Interreg Plan

In accordance with Article 10(2), point (c), EUR 10 264 000 000 shall be allocated to the Interreg Plan referred to in Title XX of Regulation XX [Regional development, Interreg Plan]; 

The allocation of resources by Member State in the Interreg Plan, covering cross-border, transnational and outermost regions' cooperation is determined as the weighted sum of the shares determined on the basis of the following criteria, weighted as indicated: 

(a)total population of all NUTS level 3 border regions and of other NUTS level 3 regions of which at least half of the regional population lives within 25 kilometers of the border (weighting 45,8 %); 

(b)population living within 25 kilometers of the borders (weighting 30,5 %); 

(c)total population of the Member States (weighting 20 %); 

(d)total population of outermost regions (weighting 3,7 %). 

The share of the cross-border cooperation corresponds to the sum of the weights of criteria (a) and (b). The share of the transnational cooperation corresponds to the weight of criterion (c). The share of the outermost regions' cooperation corresponds to the weight of criterion (d). 

The amount for the Interreg Plan to the Member States, less the resources for the interregional cooperation, shall be distributed as follows: 

*Member State share before pro rata deduction of support expenditure

ANNEX IV
Key requirements for the Member State’s management, control and audit systems

ANNEX V
Template for the National and Regional Partnership Plan

TITLE I: OVERVIEW AND PROCESS FOR ESTABLISHING THE NATIONAL AND REGIONAL PARTNERSHIP PLAN 

1.    PART 1: Challenges and objectives addressed by the Plan 

1.1.    Plan’s contribution to all specific objectives referred to in Article 3, taking into account the specific challenges of the Member State concerned

Reference: Article 22(2), point (a)

1.2.    Description of the specific challenges of the Member State taking into account the relevant country-specific recommendations addressed to the Member State concerned, in particular in the context of the European Semester and in line with the European Pillar of Social Rights, the CAP national recommendations and challenges identified in the documents and strategies referred to in Article 22(2), point (b)

Reference: Article 22(2), point (b).

1.3.    Description of how the Plan is consistent with the national medium-term fiscal structural plans, national restoration plans under Regulation (EU) 2024/1991, National Energy and Climate Plans under Regulation (EU) 2018/1999 and the national digital decade strategic roadmaps under Decision (EU) 2022/2481

Reference: Article 22(2), point (c)

1.4.    Description of how the Plan contributes to the effective functioning of the single market with Important Projects of Common European Interest, projects located on the core and extended core network and other projects of common European interest including contribution via cross-border, transnational or multi-country projects and support to operations that have been awarded a Seal

Reference: Article 22(2), paragraph (d)

1.5.    Comprehensive overview of the Plan’s support to the territories listed in Annex VII, taking into account their specific needs and challenges [2000] 

Reference: Article 22(2), point (h)(i) and Article 45 [measures for the outermost regions]

A presentation of measures required by Article 46 [Outermost regions], including a description of the main actions envisaged, supported target groups, and corresponding financial resources.

1.6.    Comprehensive overview of the Plan’s support to generational renewal in accordance with Article 15 [generational renewal] of Regulation 202X/XXXX [CAP Regulation] [2000] 

Reference: Article 22(2), point (i)(i) 

Including:

(a)Assessment of the current demographic situation in the agricultural sector

(b)Identification of entry barriers for young farmers and proposed national initiatives and measures to overcome them

(c)Description of the Stater Pack for young farmers (Art. 16 of Regulation (EU) [CAP Regulation]) and synergies between measures contributing to generational renewal

1.7.    Comprehensive overview of the Plan’s support to the social measures listed in Annex VI [methodology for contribution to social objectives], taking into account the specific national and regional needs and challenges identified, inter alia, in the context of the European Semester [2000] 

Reference: Article 22(2), point (i)(ii) 

1.8.    Comprehensive overview of the Plan’s support to thriving fisheries and aquaculture production [2000] 

Reference: Article 22(2), point (i)(iii) 

1.9.    Comprehensive overview of the planned use of integrated territorial development in cities, urban and rural areas, community-led local development, in particular LEADER, or other territorial tools including just transition, smart specialisation strategies and strategies for decarbonisation developed with the support of Union instruments in the 2021-2027 period [1 000] 

Reference: Article 22(2), point (j)(i) 

1.10.    Description of the challenges in terms of improving farm resilience and management of risks at farm level with focus on climate adaptation, risk management and improvement of the overall resilience and risk coverage of farmers, and supporting the digital and data-driven transition of agriculture and rural areas to enhance their competitiveness, sustainability and resilience and description of the reforms, investments and other interventions proposed in the Plan to address them  [1 000] 

Reference: Article 22(2), point (j) (ii) 

1.11.    Contribution to priority areas set out in Article 4 [CAP - Environment and climate priority areas]of Regulation XX [Implementation of Union support to the CAP] 

Reference: Article 22(2), point (j) (iii) 

2.    PART 2: Horizontal conditions and principles  

2.1.    Compliance with the Rule of law and Charter horizontal conditions [10 000] 

Reference: Article 22(2), points (q) and (r)

Provide a self-assessment of the compliance with the Charter horizontal condition referred to in Article 8 [Charter]

Description of the way in which the Plan and its envisaged implementation ensure the respect of the Rule of Law referred to in Articles 9 [RoL horizontal conditions], with information on the follow-up given to the country-specific recommendations issued in the framework of the latest Rule of Law Report and European Semester, together with measures to address those identified country-specific challenges.

2.2.    Compliance with the principle of ‘do no significant harm’ [5 000]  

Description of the mechanisms in place to ensure compliance with the principle of ‘do no significant harm’ in the implementation of the Plan, including a description of the protective practices as per Article 3(4) of Regulation (EU) 202X/XXXX [CAP Regulation].  

2.3.    Compliance with the principle of gender equality [5 000]  

Description of the mechanisms in place to ensure compliance with the principle of gender quality in the implementation of the Plan.  

3.    PART C: Arrangements for the implementation of the plan 

3.1.    Arrangements for the effective monitoring and implementation of the Plan 

Reference: Article 22(2), point (g)

Description of the arrangements for the effective monitoring and implementation of the Plan by the Member State concerned: 

Coordinating authority: description of how the coordinating authority will be responsible for the coordination of the Plan in accordance with article 49 [functions of the coordinating authority] [1 000] 

Managing authority(ies): description of how the managing authority(ies) will manage the Plan in accordance with Article 50 [functions of the managing authority] [1 000] 

Paying agencies: description of the paying agency(ies) [1 000] 

Audit authority(ies): description of the audit authorities and, if relevant, of the coordination arrangements in place to produce the annual audit opinion and summary of audits submitted as part of the annual assurance package; [specificy if the Member State participates in the enhanced cooperation on the establishment of the EPPO]. [1 000] 

Description of the envisaged approach as well as the arrangements between the national and regional and local authorities in terms of responsibilities for programming, implementation, financial management, monitoring and evaluation, in accordance with the institutional and legal framework of the Member State.  [2 000] 

Table XX: Managing authority(ies) 

Table XX: Paying agencies 

Table XX: Audit authority(ies) 

3.2.    Monitoring committee(s) and coordination committee:  

Reference: Article 22(2), point (g) 

Description of the organisation and structure of monitoring committee(s) and the coordinating committee; the arrangements envisaged to ensure the monitoring of the Plan is in line with Article XX [Monitoring committee and coordinating committee]. [1 000] 

3.3.    Partnership and multi-level governance

Reference: Article 22(2), points (g) and (k) (i) 

A summary of all actions ensuring the involvement of partners, including the consultation and dialogue process conducted for the preparation of the Plan and each chapter, including an explanation on which stakeholders have been consulted, how these were selected, how their representation has been ensured and how their input is reflected in the Plan in line with the code of conduct on partnership. [2 000] 

3.4.    [where appropriate] Technical support

Reference: Article 22(2), point (g)

A description of potential technical support needs for the implementation of the Plan.

3.5.    Knowledge exchange

Reference: Article 22(2), point (k) (ii) 

Description of the strategy on Agricultural Knowledge and Innovation System to strengthen knowledge exchange, innovation and farm advisory services in accordance with Article 20 [AKIS] of Regulation 202X/XXXX [CAP Regulation] [2 000] 

3.6.    Distribution of agricultural products

Reference: Article 22(2), point (k) (iii) 

Description of the modalities for setting out the EU school scheme in accordance with article XX [EU school scheme] in accordance with Regulation 202X/XXXX [CMO Regulation] [2000] 

3.7.    Arrangements in place to ensure protection of the EU financial interests 

Reference: Article 22(2), point (m) 

Description of how the Member State’s system and arrangement are sufficient to ensure a regular, effective and efficient use of Union resources, in compliance with sound financial management and the protection of the financial interests of the Union, based on the key requirements set out in Annex III. [10 000] 

3.8.    Arrangements in place to comply with the obligations to continue payments  

Reference: Article 22(2), point (n) 

Description of the arrangements in place to ensure that in the in the event of the interruption of payment deadlines or suspension of Union funding, financial corrections or other measures to ensure the protection of Union funding, financial interests, the Member State will comply with its obligation to continue the payments to beneficiaries, recipients, final recipients, contractors and participants.] [2 000] 

3.9.    Description of the envisaged approach to communication and visibility for the Plan 

Reference: Article 22(2), point (g) 

Description of the arrangements in place to ensure the visibility of the Union funding, in particular when promoting the actions and their results and inform recipients of the existence of Union support or oblige other financial intermediaries to inform such final recipients of that support. [2 000] 

3.10.    [where appropriate] Security arrangements in place  

Reference: Article 22(2), point (o) 

Security self-assessment based on common objective criteria identifying any security issues, and detailing how those issues will be addressed in order to comply with relevant Union and national law. [2 000] 

TITLE II: CHAPTERS 

For each chapter: 

1.    Chapters 

Reference: Article 22(2), point (e)

1.1.    Intervention strategy:  

Description of the existing challenges and objectives of the chapter,  

1.2.    Analysis of how the measures address identified challenges and relevant policy objectives

1.3.    Description of the synergies of the measures included in the chapter (and, if applicable, with other measures in other chapters of the plan and with national measures). 

2.    Measures 

Reference: Article 22 paragraph (2) (e) 

2.1.    The nature, type and size of the measure, indicating whether it is new or an existing measure intended to be extended with the support from the Plan; 

2.2.    Detailed information on the objective of the measure  

2.3.    Detailed information on who and what is targeted by the measure;  

For CAP interventions, the analysis should include:

–A description of the notions and elements necessary to ensure that CAP income support interventions referred to in Article X [Types of support] and other CAP interventions are targeted to those most in need of CAP support, including the notions of “agricultural activity”, “agricultural area”, “eligible hectare”, “farmer”, “young farmer” and “new farmer”.

–A description of the targeting of the selected sectors and groups and complementarity with other CAP interventions and measures set out in the Plans.

2.4.    The timeline of the implementation of the measure 

2.5.    Whether the measure contributes to: 

2.6.    Detailed information on which geographic area is targeted 

2.7.    Territorial dimension of the measure

Reference: Article 14(4) and Annex II of Regulation XX [Performance Regulation]

3.    Interventions of the Common Agriculture Policy  

Reference: Article 22 (1), point (e) 

3.1.    The following structured information:

Where relevant, the analysis may also include:

1. For sectoral interventions referred to in Articles XX [sectoral interventions] of Regulation 202X/XXXX [CMO], a description of the arrangements for operators benefitting from interventions in the sectors.

2. For the EU School Scheme referred to in Article 27 of Regulation 202X/XXXX [CMO Regulation),

a)the participants in the EU School Scheme.

b)the list of products that may be supplied and distributed and the prioritisation criteria;

c)national additional financing

The following information shall be completed for each intervention in the CAP for which additional national financing referred to in Article X is granted:

3.2.    Description of arrangements to comply with farm stewardship system (‘SMR’) [2 000] 

Reference: Article 3 [Farm stewardship] of Regulation 202X/XXXX [CAP Regulation], Article 6(3) [horizontal principles], Article 22(2), point (l)

Description of the mechanisms in place to comply with the conditions laid down in article 6(3) [other horizontal principles, farm stewardship]     

4.    Gender  

Reference: Reference: Article 6( 2), in accordance with article 13 of Regulation XX [Performance regulation] 

Information on how measures included comply with the principle of gender equality taking into account the gender mainstreaming methodology.  

5.    Milestones, targets and timeline 

Reference: Article 22(2), point (e) 

Table containing milestones, targets and timeline for the chapters with the following information: 

*As indicated in SFC 

Table containing outputs and timeline for interventions:

Reference:  Reference: Article 22(2), point (e) 

6.    Verification of the achievement of milestones, targets and outputs

Reference: Article 58(2), point (i)

7.    Financing and costs and social target 

Reference: Article 22(2), point (f), (s), Article 20

For each measure: 

8.    Coordination/demarcation and complementarities 

Reference: Article 7(5) 

Description of how the measures included in the chapter are coherent with other measures in the Plan and/or other measures supported by other Union instruments. [2 000] 

***

9.    Summary of all chapters \f

Reference: Article 22(2), point (f)

[1]  [Placeholder DNSH]

ANNEX VI
Methodology for the contribution to social objectives

For the purpose of Article 22(2), point (i), letter (ii), and taking into account the specific national and regional needs and challenges identified, inter alia, in the context of the European Semester and in line with the European Pillar of Social Rights, Member States shall concentrate resources in their Plans on the following measures:

(a)to foster active social inclusion and socio-economic integration with a view to promoting equal opportunities, non-discrimination and active participation, and improving employability, in particular for disadvantaged groups, third-country nationals including migrants and marginalized communities.

(b)to address material deprivation through food and/or basic material assistance to the most deprived persons and providing accompanying measures supporting their social inclusion;

(c)to implement the Child Guarantee through targeted actions and structural reforms to tackle child poverty particularly in Member States that have an average rate above the Union average of children of less than 18 years old at risk of poverty or social exclusion, based on Eurostat data, between the years 2024 and 2026;

(d)to implement the Youth Guarantee through targeted actions and structural reforms to support youth employment, vocational education and training, particularly in Member states that have an average rate above the Union average of young people of 15 to 29 years of age who are not in employment, education or training, based on Eurostat data, between the years 2024 and 2026.

The indicative amounts allocated to the above categories of measures shall be submitted based on the template for the Plan set out in Annex V and agreed with the Commission.

ANNEX VII
Methodology for territorial contribution

For the purpose of Article 22(2), point (h), Member States shall allocate resources to the below categories of regions, taking into account: 

(a)the specific needs and challenges of less developed regions, whose GDP per capita measured in purchasing power standards (2021-2023) is below 75% of the EU-27 average;

(b)the specific needs and challenges of transition regions, whose GDP per capita measured in purchasing power standards (2021-2023) is between 75% and below 100 % of the EU-27 average;

(c)the specific needs and challenges of more developed regions, whose GDP per capita measures in purchasing power standards (2021-2023) is equal to or above 100 % of the EU-27 average;

(d)the specific needs and challenges of islands and outermost regions, such as housing, transport and its decarbonisation, water and waste management, climate change adaptation, access to healthcare and economic development, to take account of their structural social and economic situation, which is compounded by certain specific features which severely restrain their development;  

(e)the specific needs and challenges of Eastern border regions (NUTS 2 regions that have borders with Russia and Belarus), particularly in the areas of security, border management and economic development;  

(f)the specific needs and challenges of northern sparsely populated regions, which suffer from severe and permanent natural or demographic handicaps, especially regarding connectivity and accessibility; 

(g)the specific needs and challenges of rural areas, especially those suffering from structural problems such as a lack of attractive employment opportunities, skill shortages, underinvestment in broadband and connectivity, digital and other infrastructures and essential services, as well as youth drain by strengthening the socio-economic fabric in those areas, in particular though job creation, support for young people and generational renewal; 

(h)the specific needs and challenges of areas affected by industrial transformation, especially those facing serious socio-economic challenges deriving from the transition process towards the Union’s 2030 and 2040 targets for energy and climate and a climate-neutral economy of the Union by 2050; 

(i)the specific needs and challenges in urban areas (sustainable urban development);

(j)the specific needs and challenges identified in the planned use of integrated territorial investment, community-led local development or other territorial tools including just transition and smart specialisation strategies.

The indicative amounts allocated to territories following the above methodology shall be submitted based on the template for the Plan set out in Annex V and agreed with the Commission. 

ANNEX VIII
Criteria for the assessment of the fulfilment of milestones and targets

The assessment of the fulfilment of milestones and targets set out in Article 63(3) shall take into account 

·The purpose and the expected result of the milestone and target as planned and based on the outcome, taking into account the fulfilment of the individual requirements set out therein;

·The context provided by the description of the measure to which the milestone or target belongs and the other relevant sections of the National and Regional Partnership Plan;

·The documents listed as reference framework for the preparation of the plan in Article 22(2) and documents submitted via SFC and any further explanation as regards the fulfilment including correspondence with national and regional authorities;  

·Other data or information sources in relation to the qualitative aspects and circumstances related to the fulfilment of a milestone or a target;

·Different methods or procedures used as compared to those originally envisaged;

·Whether the deviation from the wording of the description of the milestone or target hinders its fulfilment and the intended result or imply any breach of the applicable law.

ANNEX IX
Reporting on the implementation progress of the measures of the Plan

(to be submitted as an Annex to the management declaration)

Reference: Article 58(4) [responsibilities of the MS], 59(1), point (a) [annual assurance package]

1.    Payment applications submitted in the reference period (previous financial year), including information on pre-financing

2.    Progress in implementation of measures 

ANNEX X
Template for the forecasts of the amount for payment application

Reference: Article 50(1), point(d) [functions of the coordinating authority]

ANNEX XI
Template for the payment applications

Reference: Article 65(2) [submission and assessment of payment request]

LIST OF MILESTONES AND TARGETS FOR WHICH A PAYMENT IS REQUESTED

For output-based interventions

The payment will be made on the following bank account:

ANNEX XII
Template for the management declaration

Reference: Article 59(1), point (c) [annual assurance package]

I/We, the undersigned, [First Name(s), Surname(s)], in my/our capacity as [Function] of [Member State Responsible authority], taking into account my/our obligations under Regulation XX [Fund]  

Hereby declare that, in relation to the implementation of the National and Regional Partnership Plan of [country] approved by the Commission Implementing Decision of [date] on the approval of the assessment of the National and Regional Partnership Plan for [Member State] ([reference]), based on my own judgement and on the information at my disposal, in particular the results from the national control and audit systems described in the Plan:  

1.The funds were properly used in accordance with the applicable law with a view to achieving the objectives established in the National and Regional Partnership Plan.

2.The data entered into the payment applications submitted to the Commission [as referred to in point (a) of paragraph 1 of Article 59 [Assurance package]  for the financial year 20[xx] are complete, accurate and reliable, that the information on the implementation progress of the measures of the Plan [Annexed herein] provides a true and fair view of the implementation progress and that the audit trail for the measures concerned is in place.

3.The management and control systems in place function properly, ensure the legality and regularity of the underlying transactions and give the necessary assurances that the funds were managed in accordance with all applicable rules, including on prevention, detection, correction, reporting and follow-up of irregularities including conflicts of interests, corruption, double funding and fraud prevention, in accordance with the principle of sound financial management and in compliance with the applicable law[, including applicable public procurement and State aid rules].

I confirm that the irregularities identified during audits and control reports in relation to the implementation of the Plan have been appropriately corrected and have not/have led to the reversal of the milestones or targets associated to the measure concerned. In case of reversals, specify the nature and the scope of the reversal. Where necessary, adequate follow-up was given to irregularities and deficiencies in the control system reported in those reports.  

I confirm that I am not aware of any undisclosed reputational matter related to the implementation of the Plan, which could harm the interests of the European Union.  

[However, the following reservations should be noted:........] (delete this sentence if not applicable)  

[With reference to the reservation made in the previous Management Declaration - [Reference] -  

[follow-up given].] (delete this sentence if not applicable)  

Place  date  

(signature)  

[Name and Function of the signatory]  

ANNEX XIII
Template for the annual audit opinion

Reference: Article 53(2), point (a) [functions of the audit authority]

1.   INTRODUCTION  

I/we, the undersigned, representing the [name of the audit authority/ies], independent in the sense of paragraph 5 of Article 49 [Plans authorities] of Regulation XX [NRP Regulation], have audited:  

i.the completeness, accuracy and reliability of the data entered in the payment applications submitted to the Commission for the financial year [20xx] [as referred to in point a of paragraph 1 of Article 59 [Assurance package]; 

ii.the use of the funds in compliance with the applicable law; and 

iii.the functioning of the management and control system.  

 and verified:    

i.the management declaration(s) [prepared and signed by the managing authorities] in accordance with paragraph (a) of Article 59(1) [annual assurance package],  

in order to issue an audit opinion in accordance with point (a) of Article 53(2) [Functions of the audit authority].  

2.   RESPONSIBILITIES OF THE AUDIT AUTHORIT[Y/IES]  

The audits in respect of [Member State]’s National and Regional Partnership Plan were carried out in accordance with the audit strategy and complied with internationally accepted audit standards. 

My responsibility is also to include in the opinion a statement as to whether the audit work puts in doubt the assertions made in the management declaration.   

The audit procedures performed are those that I/we believe to be appropriate in the circumstances and comply with the requirements of Regulation XX [NRP Regulation] notably in its Article 53 [functions of the audit authority] and Annex IV [key A&C requirements]. I/we believe that the audit evidence gathered is sufficient and appropriate to provide the basis for my/our opinion, [in case there is any scope limitation:] except those which are mentioned in point 3 ‘Scope limitation’.  

The summary of the main findings drawn from the audits in respect of the Plan is submitted together with the present audit opinion, in accordance with point (d) of Article 59(1) [annual assurance package] of Regulation XX [NRPF Regulation].  

3.   SCOPE LIMITATION  

Either  

There were no limitations on the audit scope.  

Or  

The audit scope was limited by the following factors:  

[N.B. Indicate any limitation on the audit scope, for example any lack of supporting documentation, cases under legal proceedings, and indicate under ‘Qualified opinion’ below, the measures affected and the impact of the scope limitation on the audit opinion. Further explanations in this regard shall be provided in the summary of audits, as appropriate.]  

4.   OPINION  

Either  

(Unqualified opinion)  

In my opinion, and based on the audit work performed,  

(1) Data entered in the payment application(s):  

- the data entered in the payment application(s) submitted for the financial year 20[xx] is complete, accurate and reliable.  

(2) The management and control system in place as at the date of this audit opinion:  

·the management and control system put in place functions properly and ensure the effective and timely protection of the financial interests of the Union and the legality and regularity of the underlying transactions 

The audit work carried out does not put in doubt the assertions made in the management declaration. 

(3) the use of the funds:  

·is compliant with the applicable law. 

Or  

(Qualified opinion)  

In my opinion, and based on the audit work performed,  

(1) Data entered in the payment application(s):  

- the data entered in the payment application(s) submitted for the financial year 20[xx] is complete, accurate and reliable [where the qualification applies to the payment applications, the following text is added:] except in the following material aspects: …  

(2) The management and control system in place as at the date of this audit opinion:  

·the management and control system put in place functions properly and ensure the effective and timely protection of the financial interests of the Union and the legality and regularity of the underlying transactions  [where the qualification applies to the management and control system, the following text is added:] except for the following aspects:…  

·the use of the funds is compliant with the applicable law except for the following aspects: ….. 

The impact of the qualification is limited [or significant].  

The audit work carried out does not put/puts [delete as appropriate] in doubt the assertions made in the management declaration.  

[Where the audit work carried out puts in doubt the assertions made in the management declaration, the audit authority shall disclose in this paragraph the aspects leading to this conclusion.]  

Or  

(Adverse opinion)  

In my opinion, and based on the audit work performed,  

(1) the data entered in the payment application(s) submitted for the financial year 20[xx] is complete, accurate and reliable and/or;  

(2) the management and control system put in place functions/does not function [delete as appropriate] 

(3) The use of the funds is/is not compliant with the applicable law   

This adverse opinion is based on the following aspects:  

The audit work carried out puts in doubt the assertions made in the management declaration for the following aspects:  

[The audit authority may also include emphasis of matter, not affecting its opinion, as established by internationally accepted auditing standards. A disclaimer of opinion can be envisaged in exceptional cases].  

Date:  

Signature   

ANNEX XIV
Determination of the level of flat-rate financial corrections

Reference: Article 68(2) [Financial corrections]

1. Elements for consideration when applying a flat rate correction:

(a) gravity of the serious deficiency(-ies) in the context of the management and control system as a whole;

(b) the frequency and extent of the serious deficiency(-ies);

(c) the degree of financial prejudice to the Union budget.

2. The level of flat rate financial correction is determined as follows:

(a) where the serious deficiency(-ies) is so fundamental, frequent or widespread that it represents a complete failure of the system, a flat rate of 100% is applied;

(b) where the serious deficiency(-ies) is so frequent and widespread that it represents an extremely serious failure of the system that puts at risk the legality and regularity of a very high proportion, a flat rate of 25 % is applied;

(c) where the serious deficiency(-ies) is due to the system not fully functioning or functioning so poorly or so infrequently that it puts at risk the legality and regularity of a high proportion, a flat rate of 10 % is applied;

(d) where the serious deficiency(-ies) is due to the system not functioning consistently so that it puts at risk the legality and regularity of a significant proportion, a flat rate of 5 % is applied.

Where, due to a failure of the responsible authorities to take corrective measures following the application of a financial correction, the same serious deficiency (-ies) is identified, the rate of correction may, due to the persistence of the serious deficiency(-ies) be increased to a level not exceeding that of the next higher category. Where the level of the flat rate is disproportionate following consideration of the elements listed above, the rate of correction may be reduced.

ANNEX XV
Union actions supported through the Facility

Reference: Article 31 [Union actions]

1. The Facility shall contribute to the objectives laid down in Articles 2 and 3 [Objectives], in particular through the implementation of the following actions:

(a) support urban authorities to develop innovative projects, strengthen capacities of cities and provide a knowledge environment to share know how on sustainable urban development;

(b) promote social innovation, social experimentation and support to the stakeholders’ capacity at local, national and Union levels, including via transnational cooperation; promote voluntary labour mobility and well-functioning, cohesive and integrated labour markets including the cross-border dimension of social security systems;

(c) support microfinance, social enterprise finance, social economy and measures to promote gender equality, skills, education, training and related services, social infrastructure, including health and educational infrastructure and social and affordable housing, including for students and young people, health and long-term care, inclusion and accessibility, with a focus on integrating people in vulnerable situations, including people experiencing or at risk of poverty, social exclusion or discrimination.

(d) foster evidence-based policy making in the areas related to the implementation of the European Pillar of Social Rights, in particular on quality and sustainable employment, social inclusion, education and skills, social finance ecosystems and health and safety at work;

(e) support the implementation of the Common Fisheries Policy, inter alia to provide scientific advice, data collection and knowledge for the purposes of promoting sound and efficient fisheries management decisions; develop and implement the EU fisheries control system, promote clean and healthy oceans, develop and disseminate market intelligence for fishery and aquaculture products, promote maritime security and surveillance;

(f) support the implementation of the ocean policy, including through maritime spatial planning, sea basin strategies and maritime regional cooperation, the implementation of the European ocean observation and data network, as well as the improvement of ocean skills and literacy, and sharing of socio-economic and environmental data on the sustainable blue economy, and the implementation of the international ocean governance policy;

(g) promote a common policy in the areas of health and safety for humans, animals and plants, and animal welfare, including to support measures for the eradication, control and surveillance of animal diseases, zoonoses and plant pests, measures aiming to address antimicrobial resistance, sustainable food production and consumption, and to provide for Union-wide measures to ensure a uniform and reliable implementation of those policies;

(h) collect farm-level data on sustainability in accordance with Regulation (EC) No 1217/2009 setting up the Farm Sustainability Data Network (FSDN) and support information provision and promotion measures concerning agricultural products implemented in the internal market and in third countries in accordance with Regulation (EU) No 1144/2014;

(i) address urgent and specific needs as a response to a crisis situation such as major or regional natural disaster, and foster repair and recovery in view of increasing resilience following a crisis;

(j) Unity Safety Net support to respond to market disturbances and stabilise agricultural markets through measures adopted pursuant to Articles 8 to 21 of Regulation (EU) No 1308/2013 and exceptional measures adopted pursuant to Articles 219 to 222 of that Regulation;

(k) provide technical support to:

(i) help Member States carry out the measures set out in their Plans, address the challenges identified in the country-specific recommendations or in other relevant documents listed under Article 22(2), point (b), implement Union law, and further the policy objectives laid down in Articles 2 and 3 [Objectives];

(ii) promote innovative approaches and exchanges of best practices across Member States by means of multi-country projects for the implementation of reforms and investments, also to de-risk and leverage private investments, to address common challenges, to facilitate the consistent implementation of Union law, and to further the policy objectives laid down in Articles 2 and 3.

Technical support measures include the provision of expertise, the carrying out of studies, the collection of data and statistics, the development of common methodologies, capacity building actions to acquire and increase expertise or knowledge, as well as measures aiming to improve systems, procedures, and organisational structures.

(l) contribute to the objectives set out in Regulation (EU) 202X/XXX [migration, asylum and integration], Regulation (EU) 202X/XXX [integrated border management and visa policy] and Regulation (EU) 202X/XXX [internal security];

(m) support cross-border and multi-country projects, in particular Important Projects of Common European Interest (IPCEI), and interregional innovation investments to strengthen EU value chains via co-investments from multiple project partners; with particular emphasis on development of value chains in less developed regions, contributing to closing the innovation gap, the creation scaling of startups and enhancing cohesion; preparatory, monitoring, administrative and technical activities related to the elements of the reference framework;

(n) support LIFE actions including strategic nature projects, strategic integrated projects and strategic action projects that address environmental policy priorities with a cross-border or transnational dimension, activities that underpin the design, implementation, monitoring, evaluation, and enforcement of environmental and climate legislation and policies, promote the development of governance at all levels, support and empower of networks and civil society organisations as well as other projects of Union interest contributing to the implementation of environmental law and policies.

2. In order to support actions under Annex XV(1), point (i), the Member State may request additional support from the Facility as referred to in Article 34(3) as a consequence of:

i.a major natural disaster in a Member State resulting in direct damage estimated at over EUR 3 billion in current prices or more than 0,6% of its Gross National Income (GNI) (the lower amount applies as threshold). In this case, the support from the EU facility is set at 2,5% of the total direct damage up to the threshold plus 6% of the damage above the threshold, subject to budgetary availabilities; 

ii.a regional natural disaster in a region at NUTS 2 level of a Member State resulting in direct damage in excess of 1.5% of that region’s Gross Domestic Product (GDP) (1% of the regional GDP for the outermost regions). In this case, the support from the EU facility is set at 2,5% of the total direct damage, subject to budgetary availabilities;

iii.in the case of damages resulting from a major natural disaster in a neighbouring country, the support from the EU facility is set at 2,5% of the total direct damage, subject to budgetary availabilities.

ANNEX XVI
SFC2027: electronic data exchange system between the Member States and the Commission

Reference: Article 58(2), point (l) [Responsibilities of the Member State]

1.    Responsibilities of the Commission

1.1. Ensuring the operation of an electronic data exchange system (‘SFC2028’) for all official exchanges of information between the Member State and the Commission. SFC2027 shall contain at least the information specified in the templates established in accordance with this Regulation.

1.2 Ensuring the following characteristics of SFC2028:

(a)interactive forms or forms pre-filled by the system on the basis of the data already recorded in the system previously;

(b)automatic calculations, where they reduce the encoding effort of users;

(c)automatic embedded controls to verify internal consistency of transmitted data and consistency of this data with applicable rules;

(d)system generated alerts warning SFC2028 users that certain actions can or cannot be performed;

(e)provision of an Application Programming Interface (API) allowing for automated transmission of pre-defined datasets

(f)online status tracking of the treatment of information entered into the system;

(g)availability of historical data in respect of all information entered for a programme;

(h)availability of a compulsory electronic signature within the meaning of Regulation (EU) No 910/2014 which will be recognised as evidence in legal proceedings.

1.3. Ensuring an information technology security policy for SFC2028 applicable to the personnel using the system in accordance with relevant Union rules, in particular Commission Decision (EU, Euratom) 2017/46 (  47  ) and its implementing rules.

1.4. Designating a person or persons responsible for defining, maintaining and ensuring the correct application of the security policy to SFC2028.

2.    Responsibilities of Member States

2.1. Ensuring that the programme authorities of the Member State identified in accordance with Article 71(1) as well as the bodies identified to carry out certain tasks under the responsibility of the managing authority or the audit authority in accordance with Article 71(2) and (3) enter into SFC2028 the information for the transmission of which they are responsible and any updates thereto.

2.2. Ensuring the verification of information submitted by a person other than the person who entered the data for that transmission.

2.3. Ensuring the provision of an interface between Member State information systems and SFC2028 for the automated transfer of pre-defined datasets (annex xx)

2.4. Providing arrangements for the separation of the above tasks through the Member State’s management and control information systems connected automatically with SFC2028.

2.5. Appointing a person or persons responsible for managing access rights to fulfil the following tasks:

(a)identifying users requesting access, making sure those users are employed by the organisation;

(b)informing users about their obligations to preserve the security of the system;

(c)verifying the entitlement of users to the required privilege level in relation to their tasks and their hierarchical position;

(d)requesting the termination of access rights when those access rights are no longer needed or justified;

(e)promptly reporting suspicious events that may bring prejudice to the security of the system;

(f)ensuring the continued accuracy of user identification data by reporting any changes;

(g)taking the necessary data protection and commercial confidentiality precautions in accordance with Union and national rules;

(h)informing the Commission of any changes affecting the capacity of the Member State authorities or users of SFC2028 to carry out the responsibilities referred to in point 2.1 or their personal capacity to carry out responsibilities referred to in points (a) to (g).

2.6. Providing arrangements for the respect of the protection of privacy and of personal data for individuals, and of commercial confidentiality for legal entities in accordance with Directive 2002/58/EC, Regulation (EU) 2016/679 and Regulation (EU) 2018/1725.

2.7. Adopting national, regional or local information security policies on access to SFC2028 based on a risk assessment applicable to all authorities using SFC2028 and addressing the following aspects:

(a)the IT security aspects of the work performed by the person or persons responsible for managing the access rights referred to in point 2.4 of section II in case of application of direct use;

(b)for national, regional or local information systems connected to SFC2028, through a technical interface referred to in point 2.3 the security measures for those systems allowing to be aligned with SFC2028 security requirements and covering:

(i)physical security;

(ii)data media and access control;

(iii)storage control;

(iv)access and password control;

(v)monitoring;

(vi)interconnection with SFC2027;

(vii)communication infrastructure;

(viii)human resources management prior to employment, during employment and after employment;

(ix)incident management.

2.8. Making the document referred to in point 2.6 available to the Commission upon request.

2.9. Appointing a person or persons responsible for maintaining and ensuring the application of the national, regional or local IT security policies and acting as a contact point with the person or persons designated by the Commission and referred to in point 1.4.

3.    Joint responsibilities of the Commission and the Member States

3.1. Ensuring accessibility either directly through an interactive user-interface (i.e. a web-application) or via a technical interface (API) using pre-defined protocols (i.e. web-services) that allows for automatic synchronisation and transmission of data between Member States information systems and SFC2028.

3.2. Providing for the date of electronic transmission of the information by the Member State to the Commission and vice-versa in electronic data exchange, which constitutes the date of submission of the document concerned.

3.3. Ensuring that official data is exchanged exclusively through SFC2028, except where force majeure occurs, and that information provided in the electronic forms embedded in SFC2028 (hereinafter referred to as ‘structured data’) is not replaced by non-structured data and, in the event of inconsistency, that structured data prevails over non-structured data.

In the event of force majeure, a malfunctioning of SFC2028 or a lack of a connection with SFC2028 exceeding one working day in the last week before a regulatory deadline for the submission of information or in the period from 18 to 26 December, or five working days at other times, the information exchange between the Member State and the Commission may take place in paper form using the templates set out in this Regulation in which case the date of submission of the document is the date stamped by the post. When the cause of the force majeure ceases, the party concerned enters in SFC2028 without delay the information already provided in paper form.

3.4. Ensuring compliance with the IT security terms and conditions published in the SFC2028 portal and the measures that are implemented in SFC2028 by the Commission to secure the transmission of data, in particular in relation to the use of the technical interface referred to in point 2.3.

3.5. Implementing and ensuring the effectiveness of the security measures adopted to protect the data stored and transmitted through SFC2028.

3.6. Updating and reviewing annually the SFC2028 IT security policy and the relevant national, regional and local IT security policies in the event of technological changes, the identification of new threats or other relevant developments.

ANNEX XVII
WTO domestic support

WTO domestic support pursuant to Article 40

Annex XVIII

Minimum for CAP income support interventions referred to in Article 35(1), points (a) to (k) and (r) and paragraph 10

ANNEX […]

(1)    The total 2020 allocations under the European Regional Development Fund, the European Social Fund Plus, the Cohesion Fund, the Just Transition Fund, the European Maritime, Fisheries and Aquaculture Fund, the European Agricultural Fund for Rural Development, the European Agricultural Guarantee Fund.