GA/AB/3048

FIFTH COMMITTEE CONSIDERS REPORTS OF JOINT INSPECTION UNIT, PEACE-KEEPING FINANCING

28 November 1995


Press Release
GA/AB/3048


FIFTH COMMITTEE CONSIDERS REPORTS OF JOINT INSPECTION UNIT, PEACE-KEEPING FINANCING

19951128 The General Assembly should review the current formula for financing the support account of peace-keeping operations in order to provide enough resources for essential backstopping tasks in 1996, the Fifth Committee (Administrative and Budgetary) was told this morning.

The suggestion was made by United Nations Controller, Yukio Takasu, as the Committee began considering reports of Joint Inspection Unit (JIU) and administrative and budgetary aspects of peace-keeping financing. With changes expected in the United Nations Protection Force (UNPROFOR), the United Nations Confidence Restoration Operation in Croatia (UNCRO) and the United Nations Assistance Mission for Rwanda (UNAMIR), incomes for the support account in 1996 would be half the 1995 amounts. Therefore, the number of staff funded from that account would be reduced drastically.

The Assembly should also consider establishing a separate budget to fund backstopping requirements, he added. It could be financed at the peace- keeping assessment rates.

[The current funding formula for the support account is based on 8.5 per cent of the civilian component costs of a peace-keeping mission. Backstopping tasks for peace-keeping missions are the overall direction, assistance and guidance given by departments/offices and other units at Headquarters, to ensure the effective planning, implementation and liquidation of operations. They consist of "core" and "non-core" functions. Core tasks are fixed costs to the Organization, funded by the regular budget. Those that fluctuate with the number and size of peace-keeping operations are variable costs, funded by the support account.]

Speaking on peace-keeping assessments rates, the representative of Ukraine said his country should be moved from group b -- economically developed countries -- to group c -- economically less developed States -- in the scheme of apportioning peace-keeping costs. [Under the scheme, countries are placed in groups a to d, and are charged at a descending order of rates that are proportional to the States' regular budget assessment rates. States in group d would pay 10 per cent of the regular budget assessment rates, those in group c would pay 20 per cent, those in group b would pay 100 per cent and

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those in group a would pay 100 per cent plus the amounts not otherwise apportioned. Ukraine was assessed at the rate of 1.486 per cent for peace- keeping and 1.48 per cent for the regular budget for 1995.

Introducing the JIU's annual report, its Chairman, Fatih Bouayad-Agha, said the Assembly should continue paying special attention to the selection of inspectors. Follow-up action on JIU recommendations remained unsatisfactory. The Unit was, therefore, taking steps to ensure that its recommendations were followed up systematically.

The JIU -- the only independent system-wide inspection body -- investigates all matters related to efficiency and the proper use of funds in the United Nations and other relevant organizations in the system.

Algeria said that the implementation of JIU recommendations had saved funds in the United Nations. A follow-up mechanism should be set up.

Also this morning, JIU inspectors, Andrzej T. Abraszewski, Richard Hennes and Boris Krasulin, introduced other reports.

The Committee will meet again at 3 p.m. tomorrow, 29 November, to begin considering the financing of UNPROFOR and the United Nations Mission in Haiti (UNMIH). It is also expected to conclude its general discussion on improving the United Nations financial situation.

Committee Work Programme

The Fifth Committee (Administrative and Budgetary) met this morning to consider reports of the Joint Inspection Unit (JIU) on a range of issues and comments of the Administrative Committee on Coordination (ACC) on some of those reports. It would also consider reports of the Secretary-General and the Advisory Committee on Administrative and Budgetary Questions (ACABQ) on support account for peace-keeping operations.

The Committee would also continue considering the report of the Secretary-General on the activities of the Office of Internal Oversight Services and the Secretary-General's note transmitting the comments of the JIU on that office's final reports (document A/50/459/Add.1). (For background, see Press Release GA/AB/3045 of 21 November 1995).

Joint Inspection Unit (JIU)

The Geneva-based Joint Inspection Unit (JIU) --- the only independent system-wide inspection, evaluation and investigation body -- consists of 11 inspectors with experience in international administrative and financial matters serving in their personal capacity for a term of five years, renewable once. The Unit makes its recommendations to the Assembly on the basis of their investigations.

The ACC -- composed of the Secretary-General and the executive heads of the specialized agencies and the International Atomic Energy Agency (IAEA) -- ensures that the activities of the various bodies are fully coordinated and supervises the implementation of the agreements between the United Nations and the specialized agencies. It normally meets three times a year.

JIU Report

According to the JIU report on its activities for the period 1 July 1993 to 30 June 1994 (document A/49/34), the Unit focuses its inspection, investigation and evaluation work on four main areas: management and budgetary issues; operational activities for development; peace-keeping operations; and humanitarian assistance. The report includes the Unit's tentative work programme for 1995 and beyond.

The JIU states that improving its work would require concerted efforts from Member States, JIU participating organizations and the Unit itself. It should be provided with resources that match its work. Measures it has undertaken to improve its programming methods include more equitable distribution of topics for reports within the four priority areas; better reflection on the needs and concerns of participating organizations; more cohesive long-term planning; and more scrutiny in the choice of topics for reports. The format and the content of its reports will be improved, to include action-oriented recommendations that clearly indicated who would implement them.

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The JIU 1995 annual report (document A/50/34) gives an account of its activities during the period 1 July 1994 to 30 June 1995. It states that the Unit's overall performance and impact could be further enhanced if the selection of Inspectors is governed by qualifications and experience relevant for the Unit's work. Additional research staff is needed particularly because of the increase in reports dealing with peace-keeping operations and humanitarian assistance (one third of the Unit's reports). The report states that the Secretariat's proposals for the JIU's budget show "a real negative growth of 0.27 per cent". In light of the ACABQ recommendation that the Secretary-General report on the steps taken to provide the Unit with extrabudgetary resources and programme support for specific activities, the JIU requests the Assembly to take action and provide guidance on those matters.

The annual report also contains information on measures to enhance the functioning of JIU; on relations and cooperation with the participating organizations, external oversight bodies and other relevant bodies in the United Nations system; and results, follow-up and implementation of the Unit's recommendations. According to the report, the impact of the Unit's work should not be regarded only in terms of its reports and recommendations. Its intangible advisory role, which is undertaken during the course of investigations and evaluations, must also be kept in mind when assessing the Unit's performance.

The JIU requests the Assembly to take action on a previous proposal it has made that compliance with and follow-up of approved recommendations emanating from external oversight bodies, should be included in the functions assigned to the Office of Internal Oversight Services. The Assembly should also support its proposal to request the heads of participating organizations to provide it with a timetable for the implementation of approved JIU recommendations.

The JIU 1995 work programme and its preliminary work programme for 1996 and beyond (document A/50/140), prepared in April, notes that most of the reports in 1995 will be on management, budgetary and administrative issues; operational activities for development; peace-keeping and related operations; and humanitarian assistance. (Some of the documents are summarized below.)

An addendum to that work programme, issued in November, contains the JIU work programme for 1995-1996, the indicative list for 1996-1997 and beyond and the internal roster. The JIU states that it has decided to shift its work programme cycle from January to December to July to June in order to synchronize with the calenders of meetings of participating organizations and to ensure the timely presentation of its reports. Consequently, the 1995-1996 work programme should be considered transitional and will overlap with the 1995 work programme.

For the period 1995-1996, the Unit plans to prepare five reports on management, budgetary and administrative matters on the following issues:

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common services at Geneva; the use of information technology; contracting out in the United Nations system; and a review of financial resources devoted to activities of non-governmental organizations by the United Nations and its related bodies. It would undertake four reports on operational activities for development relating to the strengthening of field operations, coordination of development cooperation policy frameworks, assessment of the restructuring of the economic, social and related fields of the United Nations, and an evaluation of the United Nations Conference on Trade and Development (UNCTAD).

In the area of peace-keeping the JIU will look at coordination at Headquarters and the field by investigating the best possibilities for improved coordination of peace-building activities and review of ongoing programmes. A report on humanitarian assistance will focus on the execution of such programmes through government agencies and non-governmental organizations in order to clarify the criteria governing all aspects of the relationships between donor organizations and implementing partners.

The indicative list for subjects for inspection and evaluation for 1996- 1997 includes the Centre for Human Rights; the use of experts and consultants; the analysis of meetings and workshops in technical cooperation programmes in the United Nations system; and the relationship between the funding agencies and the United Nations Secretariat.

The report of the Secretary-General on the implementation of JIU recommendations (document A/49/632) contains detailed information on the follow-up action on recommendations made in four JIU reports. Concerning the African Institute for Economic Development and Planning, the assessment of the enviromental focus of projects financed by the United Nations Environment Programme (UNEP), the implementation of the General Assembly resolution on the restructuring of the economic and social sectors of the United Nations system, and salary grade overlap.

The JIU report on national execution of projects and the ACC's comments are transmitted in two notes by the Secretary-General (document A/50/113 and Add.1). The Unit's report is a study of the evolution of the method of national execution of projects introduced by the Assembly in the 1980s.

The study concludes that, in principle, the national execution of programmes and projects has become the norm for the execution of multilateral projects supported by the United Nations system. However, there are a number of difficulties and problems, including differences in the understanding of the concept of national execution of projects, a lack of cooperation and coordination between the partners, and low involvement of specialized agencies at all levels of the process.

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In order to strengthen the relationship among the partners in the national execution of projects -- which include governments, the United Nations Development Programme (UNDP) and specialized agencies -- the study recommends that the United Nations resident coordinator should refer to the decisions and options contained in the country framework-programme and seek the government's agreement when formulating the national strategy note. Specialized agencies should participate in the formulation of the country framework-programme. There should be transparency in the selction of agents responsible for implementing a project.

The ACC welcomes the call for greater involvement of all the specialized agencies in the preparation of country programmes and in the formulation and design of projects. It supports the proposal to introduce greater transparency in selecting implementing agents.

The JIU report also recommends that a special fund should be set up within the UNDP to help governments to acquire the necessary capacity for identifying the country's real needs. In general, the ACC supports this recommendation, particularly the proposed increase in training efforts.

The study states that the specialized agencies should continue efforts to decentralize their technical services at the country or subregional levels and assign to those countries or subregions highly qualified personnel to train nationals, and transfer scientific and technical know-how. The ACC is fully supportive of this recommendation. The study also recommends that the UNDP should revise some of the procedures in its programme and projects manual to make them less complicated. Other recommendations deal with the need to formulate a clear and acceptable definition of national execution of projects and to establish clear regulations relating to the management of project funds.

The JIU report on the United Nations system support for science and technology for development in Africa (document A/50/125) is the first in a series of reports evaluating the field level results and impact of some operational activities of the United Nations system in support of science and technology in developing countries. The significant international financial support anticipated by the 1979 Vienna Programme of Action for Science and Technology for Development has not materialized. The science and technology policies and programmes are hardly coordinated around strategic goals, institutional and programme adjustments appear inadequate and there is no common operational science and technology framework. In the case of Africa, some fundamental prerequisites (political, economic and social) would have to be fulfilled in order to stimulate and expand science and technology development in that region.

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The JIU recommendations are aimed at enhancing the effectiveness of the United Nations system support for science and technolgy in Africa. They focus on institution-building, sustainability, programme approach, technical backstopping, chief technical advisers, linkages to the production system and the regional setting. Within the framework of the United Nations Agenda for the Development of Africa in the 1990s, the JIU calls on the Secretary-General to initiate discussions at the highest level of ACC concerning the possibility of increased United Nations system policy and programmatic collaboration in support of science and technology capacity-building in Africa. The report also calls on the Secretary-General to undertake consultations on the possibility of a summit meeting by the Organization of African Unity (OAU) on the issue, and involving the entire United Nations system. He should also consider the feasibility of establishing a few pilot science and technology strategic institutions of national or subregional scope.

Regarding institution building, the report proposes a framework of a design, execution and evaluation of institution-building projects in low income countries and recommends that the United Nations system should refine and adopt it at the level of the ACC. They also propose that all institution- building project proposals should be justified by a thorough pre-feasibility analysis of the long-term cost benefits and financial sustainability of the supported institution, as the main condition for United Nations system support. Self-financing projects should be encouraged and reflected in project designs whenever appropriate.

In its comments (document A/50/125/Add.1), the ACC states that the report's focus on institution-building efforts for science and technology for development is most appropriate. The Committee supports the general thrust of the conclusions and recommendations. However, it identifies a number of shortcomings. The ACC questions the inspectors' decision to evaluate only the institution-building projects. Some members regretted that none of the projects chosen related to industries and to institutions for technological support to the productive sector.

Some ACC members said the report provides very little insight on what policy reforms are needed to further science and technology progress in Africa and what the United Nations system could do to formulate and support such policy reforms. They state that the report is also silent on the measures needed to unleash the entrepreneurial energies of the people in the African countries that would jumpstart the economy and enable rapid development.

The real challenge of institution-building in science and technology in Africa is not to create new institutions but to consolidate existing ones and to have them properly staffed and financed, the report continues.

The JIU report United Nations system support for science and technology in Asia and the Pacific (document A/50/721) is based on an evaluation of

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10 United Nations institution-building projects in that region. The inspectors conclude that, in general, the Asian experience in the acquisition, development and utilization of science and technology to accelerate socio- economic and industrial development offers some valuable lessons for other developing regions. The United Nations system, particularly the regional commissions should devise more effective interregional strategies and/or mechanisms for channelling that experience to countries in Western Asia, Africa and Latin America and the Carribbean.

The inspectors recommendations focus on technical cooperation achievements, regional cooperation in Asia and the Pacific; science and technology information systems; and significant strengthening of interregional collaboration in science and technology. They recommend that all organizations in the system concerned with science and technology should make more sytematic use of the science and technology experience, institutions, projects and other appropriate facilities in Asia and the Pacific region as entry points for expanded cooperation in other developing regions.

The report on communication for development programmes in the United Nations system (document A/50/126, E/1995/20) concludes that the situation regarding communication activities in the United Nations system is not satisfactory, nor is the level of inter-agency coordination keeping up with the evolution of the discipline. Most of the agencies attach insufficient importance to communication in operational activities. Even UNDP modalities for project execution do not provide scope for a communication dimension. In addition, the mass media have not been made sufficiently aware of the extensive activities of the system in development.

Recommendations for improvements are made in the following areas: policy decisions and provision of resources for communication; the location of communication units; the provision of adequate resources; coordination; and cooperation with non-governmental organizations at the grass-roots level. Existing informal round table on development and humanitarian assistance programmes should be regularized. The international programme for development of communication should respond more effectively to the needs of developing countries in the field of mass media training and infrastructure building.

In its comments (document A/50/126/Add.1), the ACC states that the value of the analysis and recommendations of the study is diminished by some of its assumptions and judgements, which are not substantiated and cannot be fully supported. Several members point to the lack of a clear and common definition of the concept of communication for development in the report, which is one of the reasons behind a poor understanding of inter-agency cooperation in this field.

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The ACC agrees that the policy of communication should be integrated within the activities of agencies dealing with development and humanitarian assistance, and that specific provision for communication activities should be included in the budgets of all development projects and programmes. The ACC supports the proposal concerning closer work with development-oriented non-governmental organizations at the grass-roots level, including workers' and employers' organizations. Concern was expressed that the activities of the United Nations information centres and services had not been taken into account in connection with recommendations on non-governmental organizations.

The report on sharing responsibilities in peace-keeping (document A/50/571) states that cooperation between the United Nations and regional organizations in peace-keeping is a relatively recent undertaking and there is insufficient knowledge of the effectiveness of each modality. Therefore it is necessary to evaluate each experience.

Recommendations are geared to the improvement of planning and management at Headquarters, at the inter-governmental level and in the field; training and advisory services; and financing. They recommend that the Secretariat prepare a comprehensive strategic programme of cooperation with regional organizations in peace-keeping and other peace-related activities for consideration by the Assembly. A small unit with a clearing house function should be established to implement the programme. The three departments directly involved with peace-keeping -- the Departments of Peace-keeping Operations, Political Affairs and Humanitarian Assistance -- should develop mechanisms to increase interaction at the working level with regional organizations.

At the interorganizational level, the report proposes bilateral framework agreements between the United Nations and regional organizations and the creation of a mechanism for cooperation between them. In the field, the Secretary-General's special representive should be given the responsibility for the overall coordination of peace-keeping operations with the participation of regional organizations. They also recomend that eligibility for receiving training and advisory services should be extended to regional organizations. The report proposes that the Assembly consider recommending the establishment of voluntary funds in regional organizations for their peace-keeping operations and related activities. It may also consider an emergency revolving fund to finance such activities, as well as a trust fund to finance United Nations training programmes for peace-keeping and related activities.

In its report on investigation of the relationship between humanitarian assistance and peace-keeping operations (document A/50/572), the JIU analyses existing and proposed mandates of different humanitarian agencies and of the social and humanitarian departments of the United Nations Secretariat, to ensure that these mandates are appropriate and applicable during complex

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emergency operations. The analysis is based on field trips to Mozambique, Rwanda and Kenya, in addition to information provided by organizations involved in the field such as the World Health Organization (WHO), United Nations High Commissioner for Refugees (UNHCR), United Nations Children's Fund (UNICEF) and UNDP, as well as the Department of Humanitarian Affairs.

The report recommends that Member States should consider the possiblity of putting additional resources at the disposal of the Department of Humanitarian Affairs to strengthen its structure and improve its capabilities. The Secretary-General should issue a bulletin in order to define clearly the Department's evolving functions and service, both at Headquarters and at the field level. It was necessary to refine the mechanism for analytical research of the roots and causes, including historical and anthropological backgrounds of political, social and economic crises, especially in cases where the parties concerned are reluctant to accept peaceful solutions. That would maximize the impact of strategies to promote negotiations to avoid conflicts.

The JIU also recommends that operational humanitarian agencies must be able to maintain direct links with the Department of Political Affairs and the Department of Peace-keeping Operations and other Secretariat departments to ensure direct and prompt liaison on relevant issues. There should also be an increased involvement of the Inter-agency Standing Committee under the auspices of the Department of Humanitarian Affairs, to participate in the planning of peace-keeping operations with the departments and to inform the Security Council through the Department on the background of strategies and operations. Peace-keeping operations should have a human rights component taking into account the nature of the Security Council mandates.

The report recommends that the coordination mechanism set up among the Secretariat departments at Headquarters should be formalized. At the field level, the Secretary-General's Special Representative should provide overall leadership, and coordinate and harmonize political, military and humanitarian operations. In addition, an information network should be established under the responsibility of the Department of Humanitarian Affairs and should be accessible to the field offices. The task of the Humanitarian Coordinator could be assigned to the United Nations Resident Coordinator.

A JIU report on relationship agreements between the United Nations and the specialized agencies focuses on strengthening of the common system of salaries, allowances and conditions of service (document E/1993/119 and Add.1). It was issued in September 1993 as a report for the Economic and Social Council's consideration of coordination questions. The addendum contains the ACC's comments on the JIU recommendations on the matter.

The report notes that the United Nations has concluded 17 relationship agreements with the specialized agencies and the IAEA following negotiations with each individual agency, spanning from 1946 to the mid-1980s. None of the

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agreements has ever been revised. The report recommends that the Economic and Social Council should undertake a complete and up-to-date evaluation of each one. They also proposed that practical ways be found to further enhance the role of the International Civil Service Commission (ICSC) in the regulation and coordination of conditions of service, including more interaction with the administration and staff of the organizations. The Economic and Social Council, the Assembly and the relevant governing bodies should formulate agreed interpretations and understanding of specific provisions of the agreements on a regular basis to strengthen existing relationships and to find solutions to new questions of inter-organizational cooperation, including personnel matters.

In its comments, the ACC states that the inspectors have extended their analysis to a broader review of the relationship agreements -- beyond the area of focus requested by the Assembly. The proposal for a full review of the agreements is premature. The relationship agreements relating to the common system had been applied relatively well over the years. The common system organizations will best be strengthened through overall improvements in conditions of service.

The JIU report on United Nations system common premises and services in the field (document A/49/629) addresses the issue of promoting a unified United Nations presence at the country level, as a means of facilitating inter-agency collaboration and cooperation, reducing the overhead costs of programme delivery and enhancing the image of the United Nations family of organizations. The cost benefits are estimated to be $1 billion over a period of 15 years. Governing bodies of specialized agencies should provide precise legislative authority to their secretariats on common premises and services in fulfilment of their treaty obligations under their relationship agreements with the United Nations.

The report recommends that the Secretary-General, as Chairman of the ACC, should initiate consultation for a new standard representation agreement for all United Nations field representations. Such an agreement would, among other things, reflect more comprehensively Assembly resolutions on field common premises and services. The agreement should contain a specific clause enabling United Nations system organizations to provide essential services to their field staff without restriction or prohibition. It should also take account of the need to reduce the financial costs to host governments of low income and least developed countries.

The JIU report on accountability, management improvement and oversight in the United Nations system (document A/50/503 and Add.1) is presented in two parts: overview and analysis of the issue (part one) and comparative tables (part two). It states that a comprehensive review is timely in view of the new demands on the system in recent times as well as vastly increased resources.

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Regarding strategic and integrated approach to accountability and management, the JIU recommends that each organization should establish a single focal point unit under its executive head dedicated to strategic planning, performance management, and effective accountability and management improvement; and consider the capacities of its internal audit, evaluation, management services, and inspection units and keep under review ways to consolidate and strengthen them and improve their effectiveness. The organization should ensure that they have integrated internal control systems in place and develop clear guidance concerning personal accountability, financial liability and standards of staff conduct. A comprehensive information system strategy should be established to support substantive programmes and management decision-making.

On the question of human resources management, the JIU recommends that each organization should strengthen its management development and training programmes as an essential investment and support for improved management. The inspectors also recommend that external system-wide oversight bodies should improve and institutionalize the sharing of information on work programmes, findings and recommendations. In addition, oversight governing bodies need to more firmly assert their leadership role and insist on accountability, performance, oversight and sound management systems in the organizations.

A related report on management in the United Nations: work in progress (document A/50/507), states that the task of changing management in the system is daunting. Such a major redirection of the large entrenched bureaucracy also evokes powerful fears of, and resistance to, any changes to comfortable old ways.

The recommendations emphasize the need for accountability; clear responsibility for programme delivery; and intergovernmental body oversight and leadership. The Secretary-General should establish a small but full-time unit for integrated strategic planning. The Fifth Committee might wish to reassess its workflows and annual calendar and to establish small professionally qualified subcommittees to divide tasks and enhance specialization. It would then be able to focus more clearly on major management and oversight issues and processes.

A JIU report on the advancement of women through and in the programmes of the United Nations system (document A/50/509) focuses on better management of the system's substantive programmes for women's advancement and the improvement of women's advancement within the system. It states that a stronger managerial focus on programme impacts is now urgently needed at all levels. Despite significant results, the process of transforming organizational cultures required to incorporate women's and gender perspectives in all system programmes is a painfully slow and complex one.

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The system's very limited resources for women's and gender programmes must be managed and increased in a much more systematic way.

The report recommends that the executive heads of the United Nations organizations should identify the needs in each organization and report to governing bodies on a sound action plan to deal with them; provide essential gender training for staff in each organizations; regularize the annual ad hoc inter-agency meetings on women's programmes; determine the adequacy of the staffing and funds for women's advancement programmes and seek to increase them; and increase the emphasis on information outreach to women's groups worldwide.

The report further recommends that greater attention should be given to the long-neglected majority of women staff in the United Nations system, both in the General Service, Professional and other categories. Policies to combat sexual harassment should be disseminated and implemented. In any "down- sizing", it should be ensured that women staff's hard-earned status is not disproportionately penalized. Other recommendations call for greater resources of the Division for the Advancement of Women or at least their restoration to the 1985 levels. The Division should at best be located directly under the Secretary-General.

The report on travel in the United Nations: issues of efficiency and cost savings (document A/50/692) presents recommendations concerning the establishment and execution of travel policy; rules and procedures for travel; control of travel through programme budgeting and oversight; and cost-cutting of travel overheads through modified procedures and new technology. Proposals also include those to improve the relationships with providers of travel services and the use of telecommunication and teleconferencing as alternatives to some travel.

Options proposed by the inspectors to improve various components of the present system of travel include a review of the formula for determining applicable air fares, classes of air travel and procedures for exceptions.

The JIU report on management of buildings in the United Nations system (document A/49/560), states that managing such structures is a big job, especially when the Organization's land and building are worth more than $2.5 billion. There should be sufficient and regular funding of building maintenance to enable managers to carry out schedule maintenance. Building managers should take part in designing buildings and to review the balance between the use of in-house staff and outside contractors for providing building services. Enforcing clauses should be included in contracts to penalize non-performance.

Commenting on the JIU report, the Secretary-General (document A/50/753) states that the inspectors' observations coincide with his views on the

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subject as stated in an earlier report on facilities management. It is regrettable that the report is not referred to by the JIU. The Secretary- General recalls that during periods of severe financial constraint, maintenance is frequently one of the first areas targeted for reduced expenditure. However, as they are not followed by periods of higher than normal expenditures, the deferral of important maintenance programmes continues. The effective annual expenditures on the United Nations buildings in the 1990-1991 biennium was only 0.25 per cent, or about one eighth of the required amount. The intention to incorporate the programme of facilities management in the programme budget for 1992-1993 biennium proved unattainable because of financial austerity.

The JIU report on efforts to restructure the regional dimension of United Nations economic and social activities (document A/49/423) explains the difficulties encountered in restructuring and reasons for the failure of past efforts. It also examines the current restructuring exercise. Member States may wish to give the Secretary-General more specific guidance for the restructuring of the economic and social sectors of the Secretariat; and to give careful consideration to establishing a strategic analysis and strategic planning facility in the United Nations Secretariat. The Secretary-General should designate a senior official who would be responsible for the implementation of the Assembly's and Economic and Social Council's resolutions as well as his plans on restructuring. The regional commissions should strive to excel in areas where they enjoy distinct comparative advantages.

A note by the Secretary-General on managing works of art in the United Nations (document A/50/742) states that in response to the recommendations of a JIU report and an Assembly resolution, the Secretary-General undertook a review of the Secretariat's in-house capabilities to improve the management of works of art. He has determined that the responsibility for the works of art should remain within the Office of Conference and Support Services. A complete inventory is being compiled of all gifts presented to the Organization. The Secretary-General recalls that Member States are responsible for the installation, maintenance and insurance of their gifts.

The Secretary-General's report on support account for peace-keeping operations (document A/49/717) clarifies the criteria for deciding which support activities for those missions should be funded from the regular budget and which from the operations' support account, the extent to which the regular budget is already providing support and the threshold for establishing core posts to be funded from the regular budget. There were 18 missions, costing $3,538 million, in 1994.

The report defines backstopping of peace-keeping operations, in general terms, as the overall direction, assistance and guidance given by departments/offices and other units, at Headquarters, for ensuring the

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effective planning, implementation and liquidation of peace-keeping operations. It consists of "core" and "non-core" functions.

It argues that the Organization must have a permanent capability to assume responsibility for the planning, and timely launching of missions even if no operation exists. That capability will cater for core functions associated with managing key policy issues and organizational performance, strategic planning and start-up capacity. These core functions represent fixed costs to the Organization and must be funded by the regular budget. Activities arising from the higher volume of work related to the number and size of missions, representing the variable costs to the Organization, would be funded by the support account.

The report proposes that 431 posts, including the conversion of 65 posts currently under general temporary assistance and a request for an additional 24 posts, be funded from the support account in 1995. The projected expenditure for 1995 is about $35.2 million, including non-staff costs of about $625,000 which the Secretary-General asks the General Assembly to authorize. Since its inception on 1 May 1990 to 31 December 1993, the account has received $53,564,499, and is expected to get $27,153,087 this year.

In a later report (document A/49/904), the Advisory Committee recommends the maintenance of the concept of a support account, but to restore simplicity to the procedures for the approval of expenditures. The General Assembly may wish to consider that the support account should continue to be financed through a charge on each peace-keeping operation equivalent to 8.5 per cent of the civilian component of that operation. Specific requests for variations of posts and other resources from previously approved levels would be considered by the ACABQ on behalf of the General Assembly. Proposals for variations in the number of posts have to be justified individually. Requests under the support account have to be justified not only on the basis of workload and operational need but also in the context of the totality of resources available to the particular unit or programme to which such resources belong. The ACABQ would seek to ensure that general temporary assistance is used for the intended purposes.

The ACABQ states that should the General Assembly accept its recommendations, the new arrangements could start from 1 January 1996. In this connection, information on the support account, including those on the unencumbered balance, should be given to the ACABQ. The Secretary-General should be requested to review all previously authorized posts in the support account so as to ensure compliance with relevant criteria and report to the ACABQ. All posts would be used only for purposes previously justified to the ACABQ and approved by the Assembly. The contractual arrangements entered into by the Organization with staff charged to the support account should allow flexibility to adjust to changing income and requirements for the account.

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The ACABQ recommends that the Assembly extend until 31 December 1995 its previous authorization for 346 temporary posts. It will be for the Assembly to decide whether to convert the remaining positions funded from general temporary assistance to temporary posts. Due to some additional information it needs, the ACABQ recommended at the time of the writing of the report last May that the Assembly defer, until September 1995, action on the Secretary- General's request for an additional 24 posts to be funded in 1995 from the support account. It added that during its deliberation on the subject, it was informed of the intention of the Secretary-General to redeploy 10 posts (five Professional and five General Service) from the Finance Management and Support Service of the Field Operations and Logistics Division, the Department of Peace-keeping Operations, to the Accounts Division and Peace-keeping Financing Division of the Department of Administration and Management. The redeployment should be considered in the context of overall requirements for staff under the support account.

With regard to non-post resources for 1995, the ACABQ recommends approval of such resources on the basis of requirements for the period from 1 April to 31 December 1995, as follows: $319,600 for general temporary assistance, $157,500 for overtime, $90,000 for travel on official business, $372,500 for training and $4,028,200 for common services.

Statements on JIU Reports

FATIH BOUAYAD-AGHA, JIU Chairman, introducing the Unit's 1995 annual report said the JIU inspectors would like to reiterate their belief that the Assembly should continue to pay special attention to the selection and appointment of inspectors, in accordance with the requisite qualifications. The Unit was also studying ways of having more effective leadership roles by its Chairman and Vice-Chairman, including modifying the practice of rotation. The working relations between the JIU and the Office of Internal Oversight Services were excellent. Both offices were aware of their roles, the former as the only external system-wide oversight body accountable to the Member States and the latter as the United Nations internal oversight body accountable to the Secretary-General.

Follow-up on the Unit's recommendations began immediately after a JIU report was sent out for action, he said. That was the most important phase and starting point for testing the quality and the potential impact of the JIU recommendations. Despite steps taken by the Unit, follow-up remained unsatisfactory. To ensure action, each future JIU annual report would provide the General Assembly and all participating organizations with a clearer and up-to-date follow-up analysis of results achieved. Information on delays for submitting comments on individual JIU reports would also be included.

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ANDRZEJ ABRASZEWSKI, a JIU inspector, introduced the reports on relationship agreements between the United Nations and the specialized agencies on the issue of common system conditions of service and on travel. The JIU had recommended that the Secretary-General should determine clearly the functions and powers of the offices dealing with travel, including the lead office with the primary responsibility for Secretariat-wide coordination of travel activities. He should review the functions of the travel units, to draw their attention to the market-oriented functions of monitoring the travel market and to take advantage of emerging opportunities. The search for the least costly fares applicable should be the primary responsibility of travel agencies, as stipulated in contracts between them and the United Nations.

Other recommendations, he added, covered such matters as the use of credit cards for travel by United Nations staff, the introduction of computer- assisted processing of travel documents and telecommunication and teleconferencing as alternatives and means to cut travel requirements.

RICHARD V. HENNES, a JIU inspector, introducing the reports on management in the United Nations, said land and building of the United Nations were worth more than $2.5 billion. Executive heads and governing bodies should assure sufficient funds to allow managers to carry out preventive maintenance and ensure timely repairs and replacements.

BORIS KRASULIN, a JIU inspector, introducing the report on the sharing of peace-keeping responsibilities, said it aimed at contributing to current efforts to increase regional organizations' involvement in collective security to ease the burden on the United Nations. The Unit had called for the Assembly to consider a comprehensive strategic programme of cooperation with regional organizations in peace-keeping and peace-related activities. A mechanism for cooperation between the two sides should be set up. The specialized agencies should participate in meetings between those groups.

LARBI DJACTA (Algeria) reaffirmed his support for the Unit as an external oversight body and stressed the need to allow the JIU to fully exercise the specific functions it shared with the Board of Auditors. The Unit had an exclusive observation platform for carrying out inspection and evaluation and to make recommendations of a general nature for the system's proper functioning. Some positive changes had taken place in the JIU. The Unit needed the support of the Fifth Committee; it should be given the adequate means to carry out its mandate. Recent reports on procedures relating to accountability and oversight and on the performance appraisal system had been useful. The implementation of JIU recommendations would lead to significant savings. A follow-up mechanism regarding JIU recommendations should be set up.

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Statements on Administrative and Budgetary Aspects of Peace-keeping

YUKIO TAKASU, United Nations Controller, said there would be drastic cuts in the budgets for peace-keeping operations in 1996. That would affect the number of posts funded from the support account, which would in turn affect backstopping for missions. He reviewed the effect of the reduction of peace-keeping missions on the Secretariat's backstopping capacity.

He said over the years, as the workload of supporting peace-keeping missions increased, a number of posts ("overload posts") to deal with that workload at Headquarters were approved in each of the budgets for the missions. The overload posts were funded from the inclusion of an amount equal to 8.5 per cent of the cost of the civilian component of each ongoing mission. In his proposed 1996-1997 budget, the Secretary-General had suggested the transfer of the funding of 26 core posts for backstopping from the support account to the regular budget. The matter was pending before the Committee. With those posts, the Department of Peace-Keeping Operations would have only 74 posts in the regular budget and the Peace-Keeping Financing Division would have only seven.

Referring to next year, he said with changes expected in the United Nations Protection Force (UNPROFOR), United Nations Confidence Restoration Operation in Croatia (UNCRO) and United Nations Assistance Mission for Rwanda (UNAMIR), preliminary estimates of income in the support account was projected at $16 million, about half the 1995 level of $33 million. Therefore, the Secretary-General would have to drastically reduce staffing under the support account. Since the middle of November, two measures had been instituted. Recruitment against the support account was frozen, and fixed-term appointments would be extended only on a case-by-case review of continuing requirements. The reduction would have adverse consequences on the ability of Headquarters departments and offices to provide effective and timely backstopping of missions. The ability to produce timely budget proposals for peace-keeping and to monitor would be diminished. The same would apply to the ability to produce financial statements of ongoing and completed missions and to process reimbursements to troop contributors and payments to vendors. Therefore, the General Assembly should review the current financing formula for the account to provide enough staff for essential backstopping tasks in the light of changes of peace-keeping operations in 1996. The possibility of establishing a separate budget for such requirements, funded at the peace- keeping assessment rates, should be considered.

The Secretary-General would submit a report on the outcome of the comprehensive review of the backstopping requirements, he continued. The Assembly had previously decided to consider at its fiftieth session arrangements for temporary positions beyond 31 January 1996. At the same time, it had authorized continued funding under general temporary assistance from the support account, including a temporary position of Special Adviser to

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the Secretary-General, up to 31 December. The Assembly should extend the temporary position for six months through 30 June 1996.

BORYS HUDYMA (Ukraine) said his country had since April 1993 asked the General Assembly to move it from group b -- economically developed countries -- to group c -- economically less developed States -- in the scheme of apportioning peace-keeping costs. A solution had not yet been found.

Ukraine could not be regarded as economically developed, he said. According to the World Bank, its 1994 per capita gross national product (GNP) had dropped to $1,570, several times below those of other states in group b. In the first six months of this year, its economy had shrunk by 11.4 per cent, compared to the previous year's. Industrial output had dropped by 22.4 per cent, with light industry crashing by more than 40 per cent. The State also had to spend a large part of its budget to ameliorate the consequences of the Chernobyl nuclear disaster. It had also incurred considerable losses connected with the implementation of United Nations sanctions against Yugoslavia. A solution to Ukraine's problem should be decided upon at this session.

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For information media. Not an official record.