EAFRD-RESET Reorientation of EAFRD funding after February 2017 Dr. Falk Hohmann

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1 EAFRD-RESET Reorientation of EAFRD funding after February 2017 Dr. Falk Hohmann

2 Discussion sphere 2 14 February 2017 Dr. Falk Hohmann

3 Initial situation Daily life of EAFRD Implementation experience Increase of the bureaucratic burden Impenetrable jungle of regulations Lack of legal certainty System of excessive control Loss of public acceptance Too detailed definition Of eligible investment In the programming documents Inhibits innovation and creativity 3 14 February 2017 Dr. Falk Hohmann

4 Impenetrable jungle of regulations 4 14 February 2017 Dr. Falk Hohmann

5 As an example: Financial control on projects using RDP Individual case / beneficiary Granting Authority Paying Agency Internal Auditors Competent Authority Technical Departments Managing Authority Certification Body Saxon Court of Auditors German Federal Court of Auditors European Commission European Court of Auditors European Anti-Fraud Office (OLAF) 5 14 February 2017 Dr. Falk Hohmann

6 Audit obligations of the member states / regions How it is audited? e.g.: Checklists What is being audited? e.g.: Active farmer Charter of Fundamental Rights 6 14 February 2017 Dr. Falk Hohmann

7 Examples of over-regulation / inconsistency of guidelines 2016: As a result of a COM audit, the COM requested to include a regulation in the Rural Development Programme, according to which agri-environment and climate measures permit additions and disposals of land only within the scope of +/- 20% annually. Article 47 (1) (c) of the EAFRD, cited as the legal basis, merely sets the condition, that the achievement of the commitment's objective is not jeopardised. Guidelines for ensuring compliance with the Charter of Fundamental Rights of the European Union in the implementation of the European Structural and Investment Funds ( ESI-Funds ) (2016/C 269/01) dated Compliance with fundamental rights in the implementation of the ESI funds is to be examined, based on checklists with key questions Introduction of finance instruments 7 14 February 2017 Dr. Falk Hohmann

8 Loss of public acceptance Target group surrenders Frustration among the applicants and administrative authorities Adjustment of the aid offer to the audit regime, avoidance of charges is focused Support of the less error-prone instead of the professional optimum Funding bureaucracy with repulsive potential The idea of Europe is in a continuous stress test 8 14 February 2017 Dr. Falk Hohmann

9 Reorientation of the EAFRD What do we want? Reorganization of the strategic and legal frameworks No repair" at the existing system Orientation towards the intended result What should be achieved? Legal certainty for applicants and administrative authorities Focus on the key objectives of rural development Prevent fraud and abuse of funding Drastic reduction of the number of European regulations Strengthening the principles of subsidiarity and proportionality February 2017 Dr. Falk Hohmann

10 Reorientation of the EAFRD Strategic framework Focusing on a few core objectives Investment programme components with selection of the best projects as a central element Non-investment programme components with regional area-related portfolio of measures Regulatory framework Strong focus on the principle of proportionality Mandatory introduction of the "single-audit" principle Balance between control costs and error risk February 2017 Dr. Falk Hohmann

11 Proposal - New regulatory framework February 2017 Dr. Falk Hohmann

12 Proposal EAFRD RESET February 2017 Dr. Falk Hohmann

13 Proposal EAFRD RESET February 2017 Dr. Falk Hohmann

14 14 14 February 2017 Dr. Falk Hohmann

15 Communication Kickoff by State Minister Thomas Schmidt, June 2016 in Brussels Transmission to all European EAFRD Managing Authorities and Paying Agencies, as well as national and international economic and social partners Variety of events and intensive discussions (e.g. MEPs, high-ranking representatives of the COM, European agricultural diplomas) So far very positive response (e.g. other EU Member States, German Farmer's Federation (DBV), The European LEADER Association for Rural Development (ELARD)) Information about the initiative "EAFRD-RESET February 2017 Dr. Falk Hohmann

16 EAFRD-Tree ? February 2017 Dr. Falk Hohmann

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