FIFTH COMMITTEE HEARS CALL FOR ACTION TO CORRECT DEFICIENCIES IN UNITAR AND UNHCR OPERATION
Press Release
GA/AB/3036
FIFTH COMMITTEE HEARS CALL FOR ACTION TO CORRECT DEFICIENCIES IN UNITAR AND UNHCR OPERATION
19951106 Committee Completes First Reading of Budget Sections on UNHCR, UNRWA, Humanitarian Affairs Department; Considers Auditor's ReportsA timetable of action should be set to correct the deficiencies observed by the United Nations Board of Auditors in the running of the United Nations Institute for Training and Research (UNITAR) and voluntary funds managed by the United Nations High Commissioner for Refugees (UNHCR), the Fifth Committee (Administrative and Budgetary) was told this morning.
The statement was made by Spain, on behalf of the European Union, as the Committee took up financial reports on those bodies and the United Nations Transitional Authority in Cambodia (UNTAC). It also concluded its first reading of budget sections 22, on the Office of the United Nations High Commissioner for Refugees (UNHCR); 23, on the United Nations Relief and Works Agency for Palestine Refugees in the Near East (UNRWA); and 24, on the Department of Humanitarian Affairs.
The sums proposed for those sections, after adjusting for factors such as inflation and exchange rate fluctuations, are $52.1 million for the UNHCR Office and $23.6 million for UNRWA. The Advisory Committee on Administrative and Budgetary Questions (ACABQ) approves those figures but reduces the $20.3 million proposed for the Department of Humanitarian Affairs to $19.9 million. The final budget would be cast in such adjusted dollar terms.
Speaking on the financial reports, the representative of Spain also sought efforts to improve the efficiency of those bodies' acquisition systems and to exercise better control over stocks. He expressed the hope that the Office of Internal Oversight Services (OIOS) would undertake to control UNTAC and its future counterparts to ensure that administrators adhered strictly to financial rules and basic accounting procedures.
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The representative of India added that the loss of communications and electronic data-processing equipment worth some $2.5 million and the decision on 705 minibuses bought for UNTAC should be urgently investigated. India's contributions to UNTAC should be reimbursed immediately.
Before the discussions on financial reports, the Chairman of the Board of Auditors and India's Comptroller and Auditor General, C.G. Somiah, introduced the Board's reports.
During the budget's first reading, Member States largely called for adequate funding for the UNHCR Office, UNRWA and the Department of Humanitarian Affairs. Speaking on the budget sections were the representatives of Algeria, Norway, Congo, Uganda, Brazil, Sudan, Iran, Yemen, Egypt, Libya, Cuba, Japan, Spain (for the European Union), United States, Russian Federation and India.
During deliberations on the proposed budget, the ACABQ Chairman, C. S. M. Mselle, introduced his committee's views. United Nations Controller, Yukio Takasu, responded to comments.
At the outset of this morning's meeting, the Committee observed a minute of silence in honour of the assassinated Prime Minister of Israel, Yitzhak Rabin.
The Committee will meet again at 3 p.m. today to continue its first reading of the budget.
Committee Work Programme
The Fifth Committee (Administrative and Budgetary) met this morning to take up financial reports and audited financial reports of the Board of Auditors and the Advisory Committee on Administrative and Budgetary Questions (ACABQ) relating to the United Nations Institute for Training and Research (UNITAR), United Nations High Commissioner for Refugees (UNHCR), and the United Nations Transitional Authority in Cambodia (UNTAC). It would also continue its first reading of the United Nations proposed budget for the 1996- 1997 biennium, involving its section-by-section review.
Financial Reports
The Board of Auditors' report on UNITAR (A/50/5/Add.4) for the year ending 1994 finds that UNITAR's general fund had an income of $800,430, expenditure of $595,977 and assets of $710,223. The Institute's special purpose grants fund received almost $3 million in grants, taking its income to $3.2 million, spent $2.9 million and had assets of $3.8 million. The balance in that Fund at the end of 1994 was $1.6 million. Activities funded by the United Nations Development Programme (UNDP) were allocated $1.1 million, which was spent. [para.8]
The Board recommends that spending statements relating to UNDP-funded projects should be prepared and submitted yearly to allow programme support income to be accounted for promptly. It also recommends that UNITAR should follow the United Nations procurement procedures and stick closely to its financial regulations in that regard after finding that UNITAR had sometimes breached them. For example, in several cases, UNITAR had awarded contracts without using the purchasing services of the United Nations Office at Geneva, as it ought to, and without regard to United Nations rules on soliciting tenders. Apart from such incidents, the UNITAR secretariat had reported no cases of fraud relating to the 1994 financial year.
The report of the board of Auditors on voluntary funds administered by UNHCR in 1994 (document A/50/5/Add.5) puts income at $.1.19 billion, mostly contributions from governments and inter- and non-governmental organizations. spending totalled $1.17 billion.
The Board found UNHCR control over its implementing partners inadequate and the procedure of programme-monitoring ineffective. Widespread failure by field offices and implementing agencies to prepare work plans harmed project and programme implementation even in critical areas and inaccuracy in budget estimations by both sides led to wide variations between budget allotments and actual spending. The selection of implementing agencies was not judicious, with multiple partners working in the same area, duplicating work and causing avoidable spending. The UNHCR lacks a proper system for rating vendor performance. Quotation requests and purchase orders are repeatedly placed
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with certain suppliers, with others not being invited to bid. Data on non- expendable property were incomplete and inaccurate and the number of training programmes and participants fell below target. The Board was told of property losses worth $756,112, from theft, hijacking and fire.
The Board recommends tat a proper system for collecting, recording and analyzing information on programme implementation be established at UNHCR headquarters and used to more regularly monitor project implementation by field offices and implementing agencies. Programme planning should ensure that instructions are issued in time and detailed work plans prepared for all work. The UNHCR should be more selective in choosing implementing partners and restrict their numbers to cut overhead costs.
All major offices should help prepare annual purchasing plans that cover a wide range of commonly used items, the report continues. Market surveys on reliable suppliers and price trends should be strengthened and given to requisitioning officers to improve their purchase planning. Maximum advertisements should be made before advance purchase agreements are finalized so as to encourage worldwide competition for bulk-purchase goods. The new asset management system should be implemented as early as possible and, before that, arrangements made to record all property acquisitions in the existing system. The number of training programmes and participants should be raised and the contents revised to cover topics closely related to job assignments. Retrospective appointment of consultants should be made only in exceptional cases and their performance evaluated at the end of each contract. An investment committee should be set up at UNHCR headquarters to advise on long- term investments. As of 31 December 1994, UNHCR had $212.9 million in short- term and $15 million in long-term deposits and $35.4 million in call accounts, earning average interest of 5.11 per cent in 1994.
A note by the Secretary-General transmits a summary of the Board's findings and recommendations on the two agencies (document A/50/327). It relays the fact that the board was told of only one case of fraud, involving $1,650, committed by a UNHCR staff in Cyprus. The staff was sacked.
A note from the Secretary-General transmits to the General Assembly the Board of Auditors' report on the liquidation audit of UNTAC (A/49/943). The Board's work covered the period 1 October 1993 to 30 June 1994. It examined planning for the liquidation process and disposition of non-expendable property, financial records kept for the procedure and the process itself.
The liquidation involved the disposition of property worth some $175 million, according to the report. Items worth $120.4 million were transferred, $41.1 million donated, $5.9 million sold, $5 million stolen, and $2.6 million written-off. The UNTAC was owed $224.4 million in assessments by the end of June 1994. At that time, it had assets of $244.5 million and liabilities of $246.4 million.
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In their report, the auditors found that the realizable values of property had not been independently determined before the liquidation date. An exercise should have been conducted by an independent team to do so by 1 October 1993.
The many discrepancies in the acknowledgement of assets transferred from UNTAC to other missions, mainly due to delayed and inadequate responses, rendered the confirmation exercise ineffective, according to the Board.
The Board recommends that the differences of $7.9 million between the UNTAC assets status report of November 1994 and those reported by the Secretary-General's reports should be investigated to set the correct value of assets disposed of. The $3.3 million difference between the value of prefabricated units reportedly donated to the Cambodian Government and what it acknowledged, and the loss of communications and electronic data-processing equipment worth $2.5 million, some of which might have been lost through fraud or negligence, should be investigated.
It adds that the review of outstanding property write-off cases worth $62.6 million should be sped up, and the conditions in which disbursements of $2.3 million were made without necessary papers should be investigated. It recommends that standard procedures for transferring and acknowledging assets should be developed to improve transparency and, in the future, an independent physical verification of a mission's assets and liabilities should be carried out early. The Board states that it intends to carry out a final audit of UNTAC (in liquidation) early next year.
In its related report UNITAR, UNHCR AND UNTAC (document A/50/560), the ACABQ expresses concern about the relations between the UNHCR and its implementing partners. It trusts that the problems in that area would be rectified urgently. It agrees with the Board that agreements with implementing partners should clearly establish their duties and responsibilities before each project started. More budgetary and financial control should be exercised by field offices on the implementing partners.
The ACABQ endorses the Board's view that the UNHCR should establish appropriate norms to regulate the high overhead costs charged by implementing agencies. On the funding of staff costs, it recommends that agreements with those partners should specify clearly UNHCR's responsibilities and the partners'. The ACABQ does not believe that such payments, especially on separation indemnities, should be charged to the agency. It requests the High Commissioner to investigate the matter and include in her next report to the ACABQ information on the relevant findings and appropriate action taken on UNHCR activities.
The UNHCR should investigate and correct various irregularities in consultancy services, such as unauthorized recruitment practices, length of
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continuous service and contractual status. Existing rules and regulations should be enforced to prevent recurrences and misuse of consultancy services.
The ACABQ endorses the Board's recommendations on UNTAC. It states that comprehensive advanced planning of the disposition of assets is essential for future peace-keeping missions, given the lessons of UNTAC. It endorses the Board's recommendations that a team to liquidate assets should be appointed before a mission's closure. There is also a need to create, in the Secretariat, expertise on the liquidation of assets, which could be supplemented with extra outside support when needed.
It learned that unliquidated obligations, as of 30 June 1995, totalled $39.1 million. As of 26 September 1995, $58.1 million was owed in dues -- United Nations Advance Mission in Cambodia (UNAMIC), $781,197; and UNTAC, $57.3 million.
Proposed 1996-1997 United Nations Budget
The budget's first reading is meant to help the Committee identify difficult points in it that would eventually be resolved in informal consultations. At the end of the first reading and first round of informal consultations, the committee would put together amounts approved for each section and those approved in respect of revised estimates and programme budget implications. In second reading each section's total appropriation would be approved. The entire exercise is expected to produce a package, which would form the programme budget for 1996-1997.
For its first reading of the proposed budget, the Committee had before it the Secretary-General's proposals (document A/50/6/Rev.1 Vols. I and II) and the views of the ACABQ (document A/50/7) and the Committee for Programme and Coordination (CPC) (document A/50/16). The Secretary-General proposes a budget of $2.51 billion (in 1994-1995 dollars), before adjustments for inflation and exchange rage fluctuations. The ACABQ's recommendations are largely in 1996-1997 figures, adjusted for those factors. (For information on the proposed budget, see Press Release GA/AB/3017 of 4 October.)
The sections to be reviewed this morning are sections 22, on the Officer of the UNHCR Office; 23, on the United Nations Relief and Works Agency for Palestine Refugees in the Near East (UNRWA); and 24, on the Department of Humanitarian Affairs.
Section 22. Office of the UNHCR: The Secretary-General proposes a pre- adjusted budget of $48.6 million, for the administrative costs of the Officer of the High Commissioner. The proposals reflect the continuation of the current arrangements in which the regular budget funds 244 posts
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(89 Professional posts and 155 General Service posts). Other spending related to the UNHCR are paid for from voluntary contributions of which $2.42 billion is expected for 1996-1997 in the form of extrabudgetary resources.
The ACABQ does not propose changes to the Secretary-General's estimates and the CPC approves the narrative.
Section 23. UNRWA: The Secretary-General proposes $21.4 million, before adjustment, for UNRWA to keep 82 Professional and above posts and 10 General Service posts funded from the regular budget. The Agency's current mandate extends until June 1996. It is anticipated that the programme will be continued in 1996-1997.
According to the ACABQ, the Agency's overall strategy for 1996-1997 will focus on preparing for the eventual hand-over of its installations, services and programmes to the Palestinian authorities, in the West Bank and the Gaza Strip, while maintaining services to Palestine refugees in Jordan, Lebanon, Syria and in the West Bank and the Gaza Strip. Extrabudgetary resources for its operational projects are estimated at some $895 million for 1996-1997. The ACABQ does not change the Secretary-General's proposals and the CPC recommends that the narrative be approved.
Section 24. Department of Humanitarian Affairs: The Secretary-General proposes $19.4 million, before recosting, reflecting a $349,900 increase. That pertains to the proposed establishment of three posts -- on at Second Officer level (P-3) and one at Senior Officer level (P-5) in New York and one P-5 at the Geneva office -- to improve the Department's capacity to coordinate humanitarian assistance. The proposed new P-5 and P-3 posts in New York are required for the Complex Emergency Division. The new P-5 post in Geneva is proposed to head the Complex Emergency Support Unit, which functions as an integral part of the Complex Emergency Division at Headquarters.
In 1996-1997, the Department will emphasize enhancing early warning capacity, rapid response and strengthening the coordination of assistance in the initial phase of an emergency. It would improve prevention and preparedness capacities for natural disasters and promote disaster-reduction programmes recommended by the Yokohama World Conference on Natural Disaster Reduction. The Department would ensure that emergency assistance is given to support recovery and long-term development.
The ACABQ states that the Department should try to streamline its grade structure and delineate the chain of command of its various units. Pending the completion of the study on the posts in the Department, it adds, the proposal for new posts should not be approved and the Department's total staffing resources be re-examined as soon as the results of the study are submitted to the Assembly. The ACABQ had noted that the Department plans to add seven temporary extrabudgetary posts (five Professional posts and two
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General Service posts) for a total of 228 temporary extrabudgetary posts (102 Professional posts and 126 General Service and other category posts) for the biennium 1996-1997. It recommends $19.9 million, after adjustments, down from the $20.3 million proposed at 1996-1997 rates. The CPC recommends that the section's programme narrative be approved.
Statements on Financial Reports
The Chairman of the United Nations Board of Auditors, C.G. SOMIAH, Comptroller and Auditor General of India, said the Board's mandate had become extremely important at a time when the Organization was faced with a financial crisis. Despite budgetary constraints, the Board would spare no efforts to carry out a thorough and professional audit of the United Nations system and would keep its budget constantly under review.
The Board's total budget of $8.2 million for 1996-1997 was an indicative budget, he said. The proposed amendment to the financial rules on auditing of peace-keeping operations annually instead of biannually would mean an increase in audit coverage. That would result in additional audit fees in light of the increased workload. The Board therefore intended to submit requests for additional audit fees for the audit of peace-keeping operations. Measures taken to strengthen external audit included a number of measures to strengthen external oversight. He reviewed a number of areas being examined by the Board, including those relating to budget formulation and budget performance reporting, programme planning and programme performance reporting, and procurement in all units of the United Nations system.
Referring to implementation of the Board's recommendations, he said the administration should implement those recommendations which could be carried out immediately. Meanwhile, the Board was considering methods to identify the persistent irregularities and specify them in its reports. The Board had established a working arrangement with the Office of Internal Oversight Services. There was no confusion in the appreciation of the respective roles of the two bodies. He noted that the Assembly was still considering the proposal to extend the terms of Board members to six years.
Introducing the Board's reports, he said some of the shortcomings of the UNHCR identified in the Board's report had been addressed. However, implementation at the field level still needed to be dealt with earnestly. On UNTAC, he said, it would be necessary for the Board to review the final status of liquidation once again in view of the many unresolved issues and the incomplete nature of the liquidation documentation available at the time of the audit. Many of the findings in the report would have an impact on all future liquidation processes. The accuracy of recent information provided by the Secretariat on the acknowledgement of UNTAC assets, as requested by the
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ACABQ, would be verified in the Board's subsequent audit. Expediting the liquidation process required, among other things, the early settlement of the unpaid assessed contributions by Member States concerned.
C. S. M. MSELLE, Chairman of the ACABQ, introduced his Committee's report. On resources available to the Board, he said the ACABQ would review its needs with respect to auditing of peace-keeping operations and advise the Assembly.
TOMAS RAMOS (Spain), also speaking for the European Union, said the Union was concerned about irregular procedures for selecting consultants, the absence of planning in the work programmes and lack of adequate publicity and concurrence in acquisitions. It was also concerned about discrepancies between the inventories and stocks of non-perishable goods.
The programmes of the UNHCR had increased significantly in the past few years, he said. The Union welcomed efforts taken to improve management systems, correct some errors and the instructions given to staff members to rectify problems. Efforts should be made to enable management systems to operate properly despite the difficulty of strictly complying with internal oversight requirements. The Union supported the recommendation of the Board of Auditors that field offices and the associated implementing entities prepare work programmes and for the timely issuance of instruction letters in order to strengthen the planning of programmes. Efforts should be made to improve the efficiency of the acquisition system and to exercise better control over stocks. Recommendations of the Board should be implemented.
On UNTAC, he said the Union agreed with the Board on the need to establish transparent and reliable reporting methods on the assets and liabilities of missions in liquidation. It was essential that the liquidation of UNTAC be carried out in the shortest time possible to reduce liquidation costs and ensure that it did not look like an ongoing operation. The Union supported the Board's proposal to carry out a final audit once the liquidation, scheduled for 31 December 1995, was finalized. Member States should pay up their dues as they owed the mission some $58.1 million as of 26 September.
He expressed hope that the Office of Internal Oversight Services (OIOS) would undertake to control the mission and its future counterparts to ensure a strict adherence, by administrators, to the financial rules and basic accounting procedures. It was necessary to set up a calendar of action to correct the deficiencies that had been observed and to provide the Member States with detailed information about the issues raised by the Board as requiring urgent action. The oversight Office must play an important role in supervising and controlling the mechanisms of management and control in the United Nations.
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KAMALUDDIN AHMED (India) said that the Board had stated that it could not confirm cash-in-hand balances for a majority of peace-keeping operations and that non-expendable property in most missions had not been inventoried. Without proper asset management, duplication and waste could not be avoided. He asked whether the Secretariat could confirm that those problems no longer existed.
He said it seemed efforts were under way to reform the procedures and practices of the procurement system. Some savings could be accrued by reforming that system. The reports on the UNITAR and the UNHCR gave cause for concern. He asked whether the United Nations could realize the Secretary- General's dream of a truly competitive, fair and transparent process, including the establishment of clear lines of authority and accountability.
Regarding the report on UNTAC, he said that there were important lessons to be learned by the United Nations and Member States. The huge losses of communications and electronic data processing equipment worth some $2.5 million should be urgently investigated. The same applied to the decision on the 705 minibuses which were bought by mistake for UNTAC. He asked how the United Nations intended to avoid such losses or to prevent such serious negligence in other peace-keeping operations. A large part of the problems arose due to lack of proper inventory. As a result, there had been no asset management. Repeated pleas from the Secretariat regarding the lack of staff could not explain the lack of better managerial practices. It should deploy available resources and immediately implement an asset management system that allowed for proper checks on available materials and their timely transfer around the world.
India, an important troop contributor to the mission, regrettably continued to wait for its reimbursement from the United Nations for equipment even two years after the mission had been completed, he continued. It looked forward to having its claims settled immediately. He called for the establishment of an appropriate policy regarding the current practice for the valuation and transfer costs of assets between missions. There should also be a thorough review of all assets and liabilities of a mission in liquidation before its assets were disposed of and its liabilities discharged. Member States should pay up their assessments to the mission because its was vital to solve that problem in order to complete the liquidation of UNTAC speedily.
Statements on UNHCR
Speaking on section 22 of the proposed budget, relating to the Office of the UNHCR, LARBI DJACTA (Algeria) said there was need to increase the resources of UNHCR so that it could respond effectively to the needs of refugees. The number of refugees was growing in an unprecedented manner and he was concerned that the agency remained largely dependent on voluntary contributions, which were always uncertain.
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DAG BRISEID (Norway) said human rights and humanitarian affairs should be provided with adequate resources. The UNHCR was responsible for one aspect of that crucial work. Member States should be prepared for a high level of activity in the area of humanitarian assistance and be prepared to provide adequate resources. He supported the proposed budget but expressed concern about the findings of the Board of Auditors on the agency. It was hoped that the Board's recommendations would be followed up. The UNHCR was dependent on a high level of extrabudgetary resources; Norway had contributed regularly to the agency's programmes. Member States should be prepared to keep their assistance at a high level. More effective coordination of humanitarian activities by the United Nations system was needed to ensure their effectiveness.
DESIRE NKOUNKOU (Congo), expressing support for the Secretary-General's proposals, said the level of future resources for UNHCR should be increased.
NESTER ODAGA-JALOMAYO (Uganda) said this section of the proposed budget was of utmost importance to his region. He supported ACABQ's recommendations on the agency. The level of resources for the Office remained at the same level; in view of the increased demand on that Office, the Secretary-General should mobilize additional resources for it. The agency's extrabudgetary funds were unpredictable and were decreasing.
MARCIO FAGUNDES (Brazil) said the last four to six years had seen a dramatic increase in the number of refugees, requiring great efforts to address their needs. He supported the Secretary-General's proposals for the budget section. The subprogramme on emergency response and relief, care and maintenance was indispensable to alleviate the impact on the host country's budget. Activities which were not part of the agency's mandate should not be continued. The provisions for subprogramme 5, durable solutions, should be increased. Economic and social backwardness triggered the increase in the number of refugees. Host countries could not cope with those problems. They should be addressed and dealt with by the provision of budgetary resources.
HAMID ELTINAY (Sudan) said Sudan was one of those countries hosting a large number of refugees from neighbouring countries. An obstacle to its voluntary repatriation programme was lack of financial resources. Resources from UNHCR and other sources had continued to fall. He hoped there would be increased interest in the work that the Sudan was doing, among others, to repatriate refugees voluntarily. The activities of UNHCR should be linked to programmes for sustainable development. Sudan continued to support such programmes.
MORTEZA MIRMOHAMED (Iran) said his country hosted the largest number of refugees. Resources for travel and consultants could be curtailed in favour of operational activities.
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The Committee concluded the first reading of section 22 on the UNHCR Office.
Statements on UNRWA
Speaking on section 23 of the proposed budget, relating to UNRWA, Mr. DJACTA (Algeria) expressed concern over the report that the move of UNRWA headquarters from Vienna to Gaza would create some operational difficulties, because a number of international staff at Vienna would not move to Gaza and would have to be replaced. The Secretariat should look for resources to ensure the transfer and for the office.
MOHAMED AL-ASHABI (Yemen) said he supported the statement by Algeria. The UNRWA had played a very special role over a period of 40 years to mitigate the suffering of Palestinian people. The programme would supplement the peace process. Donor countries should increase the resources devoted to the office to enable it continue to help the Palestinians and to help them return to their country and be rehabilitated in accordance with relevant General Assembly resolutions.
MOHAMED FATTAH (Egypt) expressed the hope that the support for UNRWA would continue and that the headquarters matter would be decided on quickly to allow the staff to functions effectively.
Mr. ODAGA-JALOMAYO (Uganda) said the United Nations should continue to provide full support and resources for the activities related to Palestine. He welcomed the steps by the Secretariat to implement the relevant resolution to move the headquarters from Vienna to Gaza. He asked why sufficient funds had not been received for the transfer. The Assembly should provide adequate resources.
Mr. BRISEID (Norway) welcomed the proposed budget for UNRWA and expressed concern about the fall of extrabudgetary resources. That was a challenge to Member States. It was necessary to continue the provision of assistance to Palestinian refugees until their problems were resolved. There should be fair distribution of resources among the refugees living in various locations. The activities should be well coordinated, with the Special Coordinator having a special role.
IBRAHIM ELMONTASSER (Libya), expressing concurrence with the Secretary- General's proposal, said the rights of the Palestinian people should be supported. There could be no settlement without their rights being upheld. The transfer of the headquarters should be handled quickly.
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DULCE BUERGO (Cuba) said the necessary resources should be provided for UNRWA activities. She expressed concern that the headquarters had not yet moved to Gaza; the situation should be resolved. She supported the recommendation of the ACABQ on the matters of the transfer.
FUMIAKI TOYA (Japan) said that the costs of the move of the headquarters would be funded from extrabudgetary resources and there was a lack of funds for that. Japan would carefully follow the situation.
YUKIO TAKASU, United Nations Controller, said the headquarters had initially been located at Vienna due to the situation in the Middle East. Finally the headquarters could be moved to the area of operation, with some offices in Amman. The Secretary-General had appealed for resources to finance the move; $4 million had been contributed and an additional $4.7 million had been pledged by several countries. With the contributions, efforts were being made initially to move the nerve centre. The $13.5 million cost referred to by the ACABQ included full costs in case the staff in Vienna were terminated and fresh ones recruited. All needs would be reported in due course.
The Committee concluded the first reading of section 23 on UNRWA and referred it to informal consultations.
Statement by ACABQ Chairman
Mr. MSELLE, the ACABQ Chairman, introduced his committee's report on sections 24 to 28. On section 24 -- the Department of Humanitarian Affairs -- the ACABQ had been informed that, in light of its current core functions, the Department planned to undertake a management study in 1995 on which extrabudgetary posts should be transferred to the regular budget of the Department during the next biennium. The ACABQ was of the view that the study should also focus on the formulation of a financial strategy for the work programme of the Department. The study should be carried out in consultation with the Department of Administration and Management, to rationalize the use of resources, and should aim to streamline the grade structure of the Department and delineate the chain of command of its various units to enhance coordination. Pending the completion of the study, the proposal for new posts should not be approved and the total staffing resources of the Department should be re-examined as soon as the results of the study were submitted to the Assembly.
Regarding section 25 -- the Department of Public Information (DPI) -- he said that the ACABQ had not endorsed the proposal to treat net revenues from the sale of publications as additional provisions in the regular budget to cover what had been termed as product development activities. There was need to improve the format and presentation of that budget section. The ACABQ welcomed the report of the Secretary-General on publications policy and recommended that the Assembly endorse its proposals, with the exception of the
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treatment of revenue from the sale of publications. Publications should be thoroughly evaluated to ensure that their objectives were met cost effectively. Steps should be taken to establish electronic links between information centres and Headquarters to facilitate better communication and to reduce costs. Administrative support for the centres should be reviewed to reduce such costs and release more resources for operational activities.
On the section relating to common services, Mr. MSELLE said the ACABQ had recommended a deferment of the consideration of the establishment of five additional posts for the proposed reform of the internal system of justice in the United Nations. That would be pending the revision by the Secretary- General of his proposal on the reform. The ACABQ recommended the approval of the transfer of four professional posts for the peace-keeping financing division from the support account. The concept of clusters/teams for providing integrated personnel services to departments and offices should be further refined to eliminate possible duplication of activities and ensure maximum efficiency in using the Organization's resources. The Secretary- General should survey the terms of agreements under which the press and other entities occupied space in United Nations-owned or rented buildings, free of charge or below commercial rates, and consider the possibility of charging appropriate rent. Expressing concern about temporary assistance funds being used to finance temporary posts, the ACABQ had requested the Secretary-General to identify in his next proposed budget such temporary positions which would have been continuously funded from general temporary assistance.
Regarding special expenses, the ACABQ recommended that adequate staff resources be made available, through redeployment, to process claims to the Advisory Board on Compensation Claims and the United Nations Claims Board.
Statements on Department of Humanitarian Affairs
Speaking on section 24 -- Department of Humanitarian Affairs -- Mr. DJACTA (Algeria) said he fully supported the work of the Department, the scope of which was constantly growing. The United Nations continued its efforts to respond to humanitarian emergencies. Other activities of the Department, such as demining, were also increasing in importance. Therefore, it should be provided with the resources to carry out its tasks. He had not seen the mandate for the management study and asked for clarification on it. Noting that the Department had intervened in many humanitarian emergencies in Africa, he said the carrying out of studies should not prevent the Department from responding to such emergencies.
Mr. RAMOS (Spain), speaking for the European Union, said the importance of the Department's role should have been reflected in the proposed budget by the provision of additional resources. What was proposed appeared to be quite meagre. The management study was appropriate and its results would give a better idea about what core functions should be financed by the regular
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budget. He looked forward to the report of the ACABQ on the Department when the Committee considered the Department's staffing. The management study should be as broad as possible to rationalize the Department's financial resources. Given the high number of trust funds, some of those accounts should be transferred from Geneva to New York. Such a transfer would ensure that the funds were better handled and provide more streamlined and transparent accounting of the Department's funds.
ALDRED DECOTIIS (United States) said the United States strongly supported the Department's work. It had played an effective role in improving donors' ability to respond effectively to numerous emergencies. The Department's dependence on extrabudgetary resources was a cause for concern. As a priority activity of the Organization, the Department should be provided with more resources through redeployment. It must have a more solid resource base. He urged the Department to complete the management study so that further consideration could be given to its resource requirements.
HIDEKI GODA (Japan) said the Department should be allocated appropriate resources to implement its mandates; its requirements for the next biennium were modest. He urged the Department to complete the management study in view of the fact that the ACABQ had deferred its recommendations on posts until it was completed. The completion of the study would allow the ACABQ and the Fifth Committee to approve those resources. Noting that the start-up phase of the early warning system had been completed, he requested more information on the next step in its establishment.
VLADIMIR KOUTNETSOV (Russian Federation) said he supported the Department's activities and agreed with the European Union's position on it. He also supported the ACABQ's assessment of the importance of the speedy implementation of the management study. Its completion would put the Fifth Committee in a better position to look into the Department's resource needs.
VIJAY GOKALE (India) supported the ACABQ's recommendation on the proposed section 24.
Mr. BRISEID (Norway) said there was need for improved coordination in the field of humanitarian assistance. Given the frequency of emergencies, the Department's capacity should be strengthened and it must be prepared to act quickly. There was need for increased backstopping. Additional activities had been entrusted to the Department. Its dependency on extrabudgetary resources gave an ad hoc character to a great number of posts. He welcomed the increased resources for the section. In line with a global trend, there had been a reduction in extrabudgetary resources, posing a challenge to the Secretariat and to Member States.
Mr. ODAGA-JALOMAYO (Uganda), referring to the request for the transfer of extrabudgetary posts to the regular budget, said he was anxious for more
Fifth Committee - 15 - Press Release GA/AB/3036 21st Meeting (AM) 6 November 1995
information on the study. The study should take into account the ACABQ views. The transfer of posts should await the results of the management study. Noting that there was a high number of extrabudgetary posts, including at the D-1 an D-2 levels, he agreed with the ACABQ's proposals on the funding of those posts. The operational activities of the trust funds should be consolidated to ensure efficient and effective control.
Mr. TAKASU, United Nations Controller, responding to comments, said the Administration had tried to provide support to the Department through redeployment. He re-stated the proposals of the Secretary-General regarding its staffing. A large number of staff members were financed from extrabudgetary resources. The management study would address that issue, not regular budget posts. The list of trust funds showed that a number were for specific purposes and others were more general.
He said in order to streamline the extrabudgetary income, the Under- Secretary-General had taken the initiative to have them reviewed. Hence the request for the transfer of three posts would not be affected by the study, the focus of which was extrabudgetary resources, including posts. The study would not be completed until early next year. The Department was seeking extrabudgetary resources to implement the second stage of the early warning system.
Mr. DJACTA (Algeria), having noted the Controller's response that the management study would focus on extrabudgetary resources, said he wanted clear confirmation on that issue from the ACABQ Chairman.
Mr. MSELLE, Chairman of the ACABQ, said it had been the understanding of the Advisory Committee that the study would indicate which extrabudgetary posts were carrying out core functions and could be transferred to the regular budget. Hence, the Committee had concluded that it was better to await the study in order to determine if the posts requested for transfer fell into that category. If however, the results of the study would not be available until next year, the Advisory Committee would proceed with the required recommendations.
Mr. DJACTA (Algeria) said Ambassador Mselle's clarification had enlightened him. Since the study would not be completed before the end of the year, the Advisory Committee would not block the Committee's decisions on that section of the budget.
The Committee completed its consideration of section 24 on the Department of Humanitarian Affairs.
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