12.2.2004 Official Journal of the European Union L 40/31 (Acts whose publication is not obligatory) COMMISSION COMMISSION DECISION of 4 February 2004 excluding from Community financing certain expenditure incurred by the Member States under the Guarantee Section of the European Agricultural Guidance and Guarantee Fund (EAGGF) (notified under document number C(2004) 194) (Only the Spanish, Danish, German, Greek, English, French, Italian, Dutch, Finnish and Swedish texts are authentic) (2004/136[EC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Community, Having regard to Council Regulation (EEC) No 729/70 of 21 April 1970 on the financing of the common agricultural policy (), and in particular Article 5(2)(c) thereof, Having regard to Council Regulation (EC) No 1258/1999 of 17 May 1999 on the financing of the common agricultural policy (3, and in particular Article 7(4) thereof, Having consulted the Fund Committee, Whereas: 1 Article 5 of Regulation (EEC) No 729/70, Article 7 of Regulation (EC) No 1258/1999 and Article 8(1) and (2) of Commission Regulation (EC) No 1663/95 of 7 July 1995 laying down detailed rules for the application of Council Regulation (EEC) No 729/70 regarding the procedure for the clearance of the accounts of the EAGGF Guarantee Section (°) provide that the Commis- sion is to carry out the necessary checks, forward its findings to the Member States, consider any comments from the latter, enter into bilateral discussions with a view to reaching an agreement with the Member States concerned and formally communicate its conclusions to them, referring to Commission Decision 94/442[EC of 1 July 1994 setting up a conciliation procedure in the () OJ L 94, 28.4.1970, p. 13. Regulation as last amended by Regu- lation (EC) No 1287/95 (O] L 125, 8.6.1995, p. 1). () OJ L 160, 26.6.1999, p. 103. () OJ L 158, 8.7.1995, p. 6. Regulation as last amended by Regulation (EC) No 20252001 (O] L 274, 17.10.2001, p. 3). context of the clearance of the accounts of the European Agricultural Guidance and Guarantee Fund (EAGGF) Guarantee Section (). The Member States have had an opportunity to request that a conciliation procedure be initiated. That procedure has been applied in some cases and the reports issued on the outcome have been examined by the Commis- sion. Under Articles 2 and 3 of Regulation (EEC) No 729/70 and Article 2 of Regulation (EC) No 1258/1999, only refunds on exports to third countries and intervention to stabilise agricultural markets, respectively granted and undertaken according to Community rules within the framework of the common organisation of the agri- cultural markets, may be financed. In the light of the checks carried out, the outcome of the bilateral discussions and the conciliation procedures, part of the expenditure declared by the Member States does not fulfil these requirements and cannot, therefore, be financed under the EAGGF Guarantee Section. The amounts that are not recognised as being chargeable to the EAGGF Guarantee Section should be indicated. Those amounts do not relate to expenditure incurred more than 24 months before the Commission's written notification of the results of the checks to the Member States. (*) OJ L 182, 16.7.1994, p. 45. Decision as last amended by Decision 2001/535/EC (O] L 193, 17.7.2001, p. 25).