On 26 July, the Commission adopted a Communication on the impact of this policy on the 2001 EU Budget. Pending the introduction of the new structures, and in particular the adoption of a legal basis for executive agencies, the Commission is proposing two transitional arrangements to be applied on a case-by-case basis: either the work will be taken over by temporary staff within the Commission; or the contracts of existing TAOs will be extended, where appropriate with some restrictions on the tasks assigned to them. The Commission will be sending the necessary proposal to the budgetary authority - Parliament and Council.As regards external action, the Commission has decided to set up a new structure, Europe Aid, to handle Community aid to non-member countries. It will replace the Common Service for External Relations (SCR). The final status of this structure - an executive office or an executive agency - will be determined later. The necessary outside staff will be incorporated into the service replacing the SCR at the Commission headquarters and in its various...

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