4. The draft administrative budget shall be placed before the European parliament not later  than 5 October of the year preceding that in which the budget is to be implemented.

The European Parliament shall have the right to amend the draft administrative budget, acting  by a majority of its members and to propose to the Council, acting by an absolute majority of  the votes cast, modifications to the draft budget relating to expenditure necessarily resulting  from this Treaty or from acts adopted in accordance therewith.

If, within 45 days of the draft administrative budget being placed before it, the European  Parliament has given its approval, the administrative budget shall stand as finally adopted. If within this period the European Parliament has not amended the draft administrative budget  nor proposed any modifications thereto, the administrative budget shall be deemed to be  finally adopted.

If within this period the European Parliament has adopted amendments or proposed  modifications, the draft administrative budget together with the amendments or proposed  modifications shall be forwarded to the Council.

5. After discussing the draft administrative budget with the Commission and, where  appropriate, with the other institutions concerned, the Council shall act under the following  conditions:  a. The Council may, acting by a qualified majority, modify any of the amendments adopted  by the European Parliament;
b. With regard to the proposed modifications:

• Where a modification proposed by the European Parliament does not have the effect of  increasing the total amount of the expenditure of an institution, owing in particular to the  fact that the increase in expenditure which it would involve would be expressly  compensated by one or more proposed modifications correspondingly reducing  expenditure, the Council may, acting by a qualified majority, reject the proposed  modification. In the absence of a decision to reject it, the proposed modification shall  stand as accepted;
• Where a modification proposed by the European Parliament has the effect of increasing  the total amount of the expenditure of an institution, the Council may, acting by a  qualified majority, accept this proposed modification. In the absence of a decision to  accept it, the proposed modification shall stand as rejected;
• Where, in pursuance of one of the two preceding subparagraphs, the Council has  rejected a proposed modification, it may, acting by a qualified majority, either retain the  amount shown in the draft administrative budget or fix another amount.

The draft administrative budget shall be modified on the basis of the proposed modifications  accepted by the Council.

If, within 15 days of the draft administrative budget being placed before it, the Council has  not modified any of the amendments adopted by the European Parliament and if the  modifications proposed by the latter have been accepted, the administrative budget shall be  deemed to be finally adopted. The Council shall inform the European Parliament that it. has  not modified any of the amendments and that the proposed modifications have been accepted.

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