26.6.1999 Official Journal of the European Communities L 160/103 COUNCIL REGULATION (EC) No 1258/1999 of 17 May 1999 on the financing of the common agricultural policy THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty establishing the European Community, and in particular Article 37 thereof, Having regard to the proposal from the Commission (1), Having regard to the opinion of the European Parliament (%), Having regard to the opinion of the Economic and Soc ial Committee (3), Having regard to the opinion of the Court of Auditors (), (1) Whereas by means of Regulation No 25 on the financing of the common agricultural policy (°), the  Council established the  European Agricultural Guidance and Guarantee Fund (EAGGF), hereinafter referred to as ‘the Fund’, which forms part of the general budget of the European Communities; whereas that Regulation laid down the principles which should apply for the financing of the common agricultural policy; Whereas at the single market stage, in view of the fact that price systems are standardised and the agricultural policy is a Community policy, the financial consequences devolve upon the Community; whereas, in accordance with that principle as laid down in Article 2(2) of Regulation No 25, refunds on exports to third countries, intervention aimed at stabilising agricultural ~ markets, rural  development measures, specific veterinary measures as laid down in Council Decision 90/424/EEC of 26 June 1990 on expenditure in the veterinary field(°), measures intended to  provide 0J C 170, 4.6.1998, p. 83. Opinion delivered on 6 May 1999 (not yet published in the Official Journal). 0J C 407, 28.12.1998, p. 222. 0] C 401, 22.12.1998, p. 3. OJ L 30, 20.4.1962, p. 991/60. Regulation as last amended by Regulation (EEC) No 728/70 (O] L 94, 28.4.1970, p. 9). OJ L 224, 18.8.1990, p. 19. Decision as last amended by Decision 94/370/EC (O] L 168, 2.7.1994, p. 31). information on the common agricultural policy and certain evaluation actions should be financed by the ‘Guarantee’ section of the Fund in order to achieve the objectives set out in Article 33(1) of the Treaty; Whereas the ‘Guidance’ section of the Fund should finance expenditure for certain rural development measures in regions whose development is lagging behind as well as for the rural development Community initiative; Whereas the Commission is responsible for the administration of the Fund and whereas close cooperation between Member States and the Commission is provided for within a committee for the Fund; Whereas the responsibility for checking the Fund's Guarantee Section expenditure lies, in the first place, with the Member States, which designate the authorities and bodies empowered to effect expenditure; whereas the Member States must carry out this task fully and effectively; whereas the Commission, being responsible for implementing the Community budget, must verify the conditions under which payments and checks have been made; whereas the Commission can only finance expenditure where those conditions offer all necessary guarantees regarding compliance with Community rules; whereas, in a decentralised system of management of Community expenditure, it is essential that the Commission, as the institution responsible for funding, its entitled and enabled to carry out all checks on the management of expenditure it considers necessary and that there should be full and effective transparency and mutual assistance between the Member States and the Commission; Whereas, during the clearance of accounts, the Commission is able to determine within a reasonable time the total expenditure to be entered against the Guarantee Section in the general account only if it has satisfactory assurance that the national controls are adequate and transparent and that the paying agencies verify the legality and regularity of the payment requests which they execute; whereas provision should therefore be made for the accreditation of paying agencies by Member States; whereas in