GRATIS PERSONNEL NOT USED IN NEGOTIATIONS WITH COUNTRIES CONTRIBUTING TROOPS TO UNPREDEP

21 May 1998

Press Release
GA/AB/3232

GRATIS PERSONNEL NOT USED IN NEGOTIATIONS WITH COUNTRIES CONTRIBUTING TROOPS TO UNPREDEP

19980521 Fifth Committee Concludes Discussing Financing of Peacekeeping Operations

Gratis personnel had not been used to negotiate terms with troop- contributing countries for the United Nations Preventive Deployment Force (UNPREDEP), the Fifth Committee (Administrative and Budgetary) was told this morning as it concluded its discussion of the financing of individual peacekeeping missions.

Responding to questions posed by the representative of Algeria regarding information contained in a report of the Advisory Committee on Administrative and Budgetary Questions (ACABQ) on UNPREDEP, the Director of the Peacekeeping Financing Division, Department of Management, Yeo Bok Cheng, said that the information supplied to the ACABQ by the Secretariat had been misleading. New information would be provided during informal consultations this afternoon.

The Chief of the Finance Management and Support Service, Department of Peacekeeping Operations, Compton Persaud, apologized for the erroneous information. In the case of UNPREDEP, while a team including gratis personnel had gone to discuss the new arrangements for contingent-owned equipment and death and disability benefits, there had been no negotiations carried out by such personnel in that mission. However, such loaned staff had been involved in various processes in other missions.

During its discussion on financing United Nations peacekeeping missions in Haiti and in the Central African Republic, questions were posed on issues including the use of cash payments instead of rations to troops in the United Nations Mission in the Central African Republic (MINURCA). Since that practice yielded savings, why was it not standard in the United Nations? Uganda's representative asked. The representative of Saudi Arabia sought clarification on dramatic cost differences for similar budget lines during two different periods of the Mission.

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The reported savings from cash allowance for rations had been unique to the Central African Mission, Mr. Yeo said. Also, such a practice generated security issues, in view of the large amounts of cash needed. He also explained that the changes in budget lines were related to the different stages of a mission's deployment process.

On United Nations peacekeeping efforts in Haiti, the representative of the United States said his Government had made voluntary contributions in light of the missions' importance. He welcomed steps taken to achieve savings, such as the use of bulk purchasing and the new procedures for reimbursing contingent-owned equipment.

The Chairman of the ACABQ, C.S.M. Mselle, introduced that body's reports and responded to questions on the use of gratis personnel.

The Fifth Committee is scheduled to meet again at a date to be announced.

Committee Work Programme

The Fifth Committee (Administrative and Budgetary) met this morning to consider the financing of United Nations peacekeeping operations in Haiti and in the Central African Republic.

Financing of MINURCA

A report of the Secretary-General on the financing of the United Nations Mission in the Central African Republic (MINURCA) (document A/52/895) contains proposed budget for the Mission's establishment and operation for the period from 27 March to 30 June 1998, inclusive of the transition period from the Inter-African Mission to Monitor the Implementation of the Bangui Agreements (MISAB) to MINURCA. It also covers the Mission's maintenance from 1 July to 30 November 1998. The Mission was established by the Security Council with effect from 15 April for an initial period of three months until 15 July.

The proposed budget, on a full-cost basis, amounts to some $20.8 million gross ($20.4 million net) for the period from 27 March to 30 June 1998, inclusive of budgeted voluntary contributions in kind of $967,400, and about $28.8 million gross ($28 million net) for the subsequent five months until 30 November, inclusive of budgeted voluntary contributions in kind of some $1.1 million.

The report states that the Secretary-General's cost estimates for the Mission provide for the authorized strength of 1,350 contingent personnel and 24 civilian police, supported by 179 civilian staff (106 international and 73 local).

The Secretary-General asks the General Assembly to include the appropriation and assessment of some $19.8 million gross ($19.5 million net) for the establishment and operation of MINURCA for the period from 27 March to 30 June 1998; the appropriation of about $27.6 million gross ($26.9 million net) for the maintenance of the Mission for the period from 1 July to 30 November 1998; the assessment of $2.8 million gross ($2.7 million net) for the period from 1 to 15 July 1998; and the assessment at the monthly rate of about $5.5 million gross ($5.4 million net), subject to the extension of the mandate of MINURCA by the Security Council beyond 15 July 1998.

Also before the Committee was a related report of the Advisory Committee on Administrative and Budgetary Questions (ACABQ) (document A/52/911). The report states that in part, in view of a delay in the recruitment in staff for the MINURCA, the Advisory Committee recommends that for the period from 27 March to 30 June 1998 the Assembly approve an appropriation of some $18.6 million gross ($18.3 million net) rather than the $19.8 million gross requested by the Secretary-General.

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In connection with the maintenance of the Mission for the period from 1 July to 30 November, the report states that the Advisory Committee concurs with the Secretary-General's request that the Assembly appropriate the amount of about $27.6 million gross (about $26.9 million net).

The Mission was established by Council resolution 1159 of 27 March effective 15 April for an initial period of three months until 15 July. By the same resolution, the Council authorized the Member States participating in MISAB and those States providing logistical support to ensure security and freedom of movement of their personnel and decided that this authorization would end on 15 April 1998. The Council also authorized the Secretary-General to take the measures necessary to ensure that MINURCA is fully deployed by 15 April 1998 and to secure a smooth transition between MISAB and MINURCA.

Operations in Haiti

Also before the Committee were seven reports concerning United Nations missions in Haiti -- United Nations Mission in Haiti (UNMIH), which terminated on 30 June 1996; United Nations Support Mission in Haiti (UNSMIH) from 1 to 31 July 1997; United Nations Transition Mission in Haiti (UNTMIH), terminated on 30 November 1997; and United Nations Civilian Police Mission in Haiti (MIPONUH), 1 December 1997 to 30 November 1998.

A report by the Secretary-General on the financial performance of UNMIH (document A/52/833) asks the Assembly to decide on the treatment of an unencumbered balance of $38,100 gross ($26,800 net) with respect to the liquidation period from 1 to 31 July 1996. The unencumbered balance was attributable to a lower number of contingent personnel, the charging of some expenditures to UNSMIH rather than to UNMIH, and the non-rental of heavy-duty vehicles.

The Secretary-General's report on the financing of UNSMIH and of UNTMIH (document A/52/512) contains the revised budget for the maintenance of UNSMIH, the maintenance of UNTMIH for the period from 1 August to 30 November 1997 and its liquidation thereafter.

The revised budget amounts to about $20.6 million gross ($19.8 million net) consisting of around $4.7 million gross (about $4.4 million net) for the maintenance of UNSMIH, $8.8 million gross ($8.5 million net) for the maintenance of UNTMIH and some $7.1 million gross (nearly $6.9 million net) for the liquidation of the Mission. The actions to be taken by the General Assembly include the appropriation and assessment of the additional amount of some $6.1 million gross (about $5.8 million net) for the period from 1 July 1997 to 30 June 1998. The Assembly, at its fifty-first session, had appropriated and assessed $15.1 million gross ($14.5 million net).

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Also before the Committee was a report of the Secretary-General on the financing of UNSMIH, UNTMIH and MIPONUH (document A/52/798). The report contains the revised budget for the period from 1 July 1997 to 30 June 1998 and provides for the maintenance of UNSMIH for July 1997, of UNTMIH for the period from 1 August to 30 November 1997, and the maintenance of MIPONUH for the period from 1 December 1997 to 30 June 1998. The revised budget amounts to some $34.3 million gross ($33 million net), including budgeted voluntary contributions in kind amounting to almost $2 million, consisting of about $4.7 million gross (around $4.4 million net) for UNSMIH, some $10.4 million gross (about $10 million net) for UNTMIH, and nearly $19.3 million gross ($18.5 million net) for MIPONUH.

The report states that the budget estimates for MIPONUH provide for 300 civilian police supported by 224 civilian staff. The report also contains the proposed budget, inclusive of budgeted voluntary contributions in kind amounting to around $1.7 million, for the maintenance from 1 July to 30 November 1998, in the amount of about $12.3 million gross (around $11.8 million net) and for its liquidation thereafter, in the amount of some $7.1 million gross ($6.8 million net).

The Secretary-General asks the Assembly to include the appropriation and assessment of the additional amount of around $17.8 million gross (some $17 million net) for the period from 1 July 1997 to 30 June 1998 and the amount of about $17.7 million gross (about $16.9 million net) for the period from 1 July 1998 to 30 June 1999. The amount of $15.1 million gross ($14.5 million net) had been appropriated and assessed under Assembly resolution 51/15B.

In an annex to a related report of the ACABQ (document A/52/818), its Chairman transmits a letter from that body to the Secretary-General. The letter states that the Advisory Committee had been unable to consider fully the requests, due to fact that the information in advanced version it received had been accompanied by numerous amendments and revisions. As a result, there was no basis for it to report to the Fifth Committee on the subject. The Chairman says the Secretary-General's report should be simplified and the amendments incorporated into the document.

Pending the finalization of the revised budget, the Advisory Committee authorized the Secretary-General to continue using the resources already available to him. Those amounts are the $15.1 million already appropriated and assessed, and the amount of $9.3 million authorized by the Advisory Committee in December 1997.

A report of the Secretary-General on the financial performance of UNSMIH (document A/52/854) asks the General Assembly to decide on the treatment of an unencumbered balance of $9.1 million gross ($8.3 million net) for the period from 1 July 1996 to 30 June 1997. That balance resulted from variances

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attributable to delays in the deployment of civilian police officers and international staff and reduced costs for premises/accommodation, transport, air and naval operations, commercial communications and supplies and services. Some $56.1 million gross had been appropriated by the Assembly; expenditures amounted to $47 million gross ($45.4 million net).

Another document before the Committee was a further report of the Secretary-General on the financing of UNSMIH, UNTMIH and MIPONUH (document A/52/869) submitted pursuant to the 3 March 1998 letter from the Chairman of the Advisory Committee to the Secretary-General (document A/52/818) and replaces the proposed budgets for the same periods contained in document A/52/798.

The report contains the revised budget for the period from 1 July 1997 to 30 June 1998, amounting on a full cost basis to $30.3 million gross ($29.1 million net), and provides for the maintenance of UNSMIH for the month of July 1997; UNTMIH from 1 August to 30 November 1997; and MIPONUH from 1 December 1997 to 30 June 1998.

The report also contains the revised budget for MIPONUH for the period from 1 July 1998 to 30 June 1999 totalling some $18.5 million gross ($17.8 million net) on a full cost basis, and provides for its maintenance from 1 July 1998 to the end of the mandate on 30 November 1998 and for the liquidation of the Mission from 1 December 1998 to 30 June 1999.

The Secretary-General asks the Assembly to appropriate and assess an amount of about $13.2 million gross (around $12.6 million net), inclusive of the $9.2 million gross (some $8.8 million net) authorized by the ACABQ for the period from 1 July 1997 to 30 June 1998. Also, he asks it to appropriate and assess about $16.8 million gross ($16 million net) for the period from 1 July 1998 to 30 June 1999, and to decide to continue to use the special account established for UNSMIH, UNTMIH and MIPONUH.

The report of the ACABQ on United Nations missions in Haiti (document A/52/905) recommends that the Assembly take note of the unencumbered balance of $38,100 gross ($26,800 net) for the period from 1 to 31 July 1996 and states that a recommendation on the treatment of the unencumbered balance for UNMIH will be forthcoming, at the Assembly's fifty-third session, after the ACABQ receives UNMIH's final performance report.

On UNSMIH's financial performance for the period from 1 July 1996 to 30 June 1997, the Advisory Committee recommends that the unencumbered balance of $9.1 million gross ($8.3 million net) for that period be credited to Member States.

Regarding the revised cost estimates for the period from 1 July 1997 to 30 June 1998 for UNSMIH, UNTMIH and MIPONUH, the ACABQ recommends the

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appropriation and assessment of $13.2 million gross (about $12.6 million net), inclusive of the $9.2 million gross ($8.8 million net) already authorized by the Committee. The appropriation would be in addition to the amount of almost $15.1 million gross ($14.5 million net) already appropriated and assessed by the Assembly in 1997, inclusive of the amount of $561,000 for the support account for peacekeeping operations.

For the period from 1 July 1998 to 30 June 1999, the ACABQ recommends a reduction of 5 per cent in the proposed appropriation and assessment for MIPONUH, resulting in the amount of almost $16 million gross ($15.3 million net). That amount would be inclusive of MIPONUH's prorated share of the costs of the United Nations Logistics Base for 1998-1999.

On 28 November 1997, the Council established the MIPONUH for a single one-year period, until 30 November, to continue providing international support to the Haitian Government's efforts to professionalize the country's national police force. The 30 November 1997 withdrawal of UNTMIH -- one in a series of United Nations operations in Haiti -- marked the end of a year-long transition from a international military presence in Haiti to a civilian monitoring operation. The UNTMIH began work in Haiti when UNSMIH, which included 500 military troops, left the country in July 1997.

Statements on Financing of MINURCA

YEO BOCK CHENG, Director of the Peacekeeping Financing Division, Department of Management, introduced the report of the Secretary-General on the financing of MINURCA. He said it was the first new mission to be established in some time and was the first one in which the new contingent- owned equipment arrangements were being implemented.

CONRAD S.M. MSELLE, Chairman of the ACABQ, introducing the Advisory Committee's related report, said it was recommending that the Assembly appropriate a lower amount -- largely for technical reasons -- than that proposed by the Secretary-General for the period from 27 March to 30 June. For the period from 1 July to 30 November, the Advisory Committee concurred with the Secretary-General's proposal.

ERICA-IRENE DAES (Greece), Committee Vice-Chairman, proposed that the item now be closed.

NESTER ODAGA-JALOMAYO (Uganda) said that his delegation was under the impression that the item would remain under consideration, as he had just received the document. He had some interest in the subject and would like to make a formal statement at a later date. He asked that the subject remain open.

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Ms. DAES (Greece), Committee Vice- Chairman, asked, because of time constraints, that the representative make his comments now.

Mr. ODAGA-JALOMAYO (Uganda) said that on the outset he wished to express his delegation's displeasure that the documents under consideration had just been released and there had not been adequate time for an exhaustive study. The late issuance of documents remained an issue of major concern.

Uganda regretted the fact that as one peacekeeping operation was being liquidated in Africa, it was being replaced by another, he said. It had been hoped that that would be a period when discussion would focus on peacemaking, peace-building and confidence measures for Africa -- and not on peacekeeping. In that regard, Uganda hoped that the international community would give support to initiatives mentioned in the Secretary-General's report on the causes of conflict in Africa (document A/52/871).

It had been said that another name for peace was development, he said. As long as Africa remained in a quagmire, peace would be hard to achieve. Uganda had noted the quick and smooth deployment of the operation. The Secretariat was to be thanked for such action. Where there was international commitment in concert with efforts of the United Nations, there could be a great role for the Organization to play for people in need.

Uganda had noted the limited mandate of MINURCA, he said. Elections in the Central African Republic were slated for August/September, and it was important that a smooth transition follow them. Uganda was grateful to all governments which had contributed troops to the operation. Posing a series of questions, he asked whether the targeted number of deployment had been achieved; about basis for arriving at the dollar value for rations and how the possibility of double payment be avoided; about the current situation of recruitment of international civil servants for the Mission; for clarification on the Mission's memorandum of understanding; and about the establishment of the special account for MINURCA.

Mr. YEO, Director of Peacekeeping Financing Division, said the report had been finalized on 11 May, because negotiations had been ongoing between the Department of Peacekeeping Operations and troop-contributing countries. Those negotiations were rendered more complex because arrangements made under MISAB were also involved. Other delegations, in earlier remarks, had expressed appreciation for the fact that the Secretariat was implementing MINURCA so speedily. The fact that the Mission's budget had been brought to the Committee during its current resumed session deserved commendation, rather than criticism. It was different from the reports that the ACABQ had commented on regarding timeliness.

Responding to questions, he said that as of 1 May, practically all the authorized troops were on the ground; the deployment of only one contingent

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was delayed. No voluntary contributions had yet been received for the trust fund. Regarding the special pay in lieu of rations, that arrangement had been inherited from the previous regime. There was no potential for double payment. Instead, the greater concern pertained to maintaining security for such large amounts of cash. Civilian staff recruitment was proceeding. Negotiations were continuing on the memorandums of understanding. That was not unusual; often arrangements continued after troops were on the ground. The Council had authorized deployment of troops from 15 March, and as had been the practice in other missions, the special account was established as of that date.

Mr. ODAGA-JALOMAYO (Uganda) said that his delegation had commended the Secretariat for the swift deployment of MINURCA. Further, he had noted that where the international community had the will, the United Nations could be very effective in responding to needs. His delegation's concern was that when an issue was to be considered, documentation should be provided in a timely manner. Regarding the payment of cash instead of rations, the Secretariat had mentioned that the approach would result in savings. If that was the case, why was the approach not utilized in lieu of rations generally, to yield more savings? he asked.

Mr. YEO, Director of the Peacekeeping Finance Division, said that the provision of rations was standard United Nations practice. The cash payments for MINURCA were the exception to the rule.

AHMED FARID (Saudi Arabia) said his questions had to do with comparisons during two periods: from 15 April to 30 June, and from 1 July to 30 November. The report indicated that the rental of vehicles would cost $225,000 for the earlier period, then $1.1 million for the latter period. That was almost five times the earlier amount. However, he noted that costs for oil and petrol did not coincide with the increase in vehicle rental costs. Instead of increasing five-fold, it merely doubled. He also drew attention to the significant decrease in costs for the "training of trainers" programmes for national police and gendarmerie, from the earlier to the later period. On air and surface freight, the amount also dropped significantly in the second period. Such fluctuations required explanation.

Mr. ODAGA-JALOMAYO (Uganda) said he was aware that issuing rations was a standard practice, not only for the United Nations but for most Member States governments. However, the current era was a time of reform. Past practice need not be continued since the Secretariat had discovered that the payment of cash instead of rations had yielded savings.

Mr. YEO, Director of the Peacekeeping Finance Division, said freight costs were greater at the time of a mission's deployment. Once equipment was in the field, freight costs decreased. The amount for training programmes under the first period related to acquisition of equipment for such training; the amount for second period only related to trainers' costs. He recalled

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that the current practice concerning rations had been established with the Assembly's approval, and was part of the reform of contingent-owned equipment. One aspect of making cash payments was the exposure to the potential for theft. The reference to savings from cash payments was particular to the mission; he would ask his colleagues to bring further details during informal consultations. The questions on armoured personnel carriers would be answered during informal consultations.

Mr. FARID (Saudi Arabia) said he had not heard an answer regarding the rental of vehicles and petrol consumption.

Mr. YEO, Director of the Peacekeeping Finance Division, said that there was no link between the amount of rental costs for the armoured personnel carriers and the dollar requirements for petrol, since the latter was based on the number of vehicles and the assumed travel requirements.

Mr. ODAGA-JALOMAYO (Uganda) asked that at the informal consultations on the subject, the Secretariat provide information on how much it would cost if the operation were run on rations as opposed to a provision of cash in the amount of $11.4 per person a day. Statements on Financing of Missions in Haiti

Mr. YEO, Director of the Peacekeeping Finance Division, Department of Management, introduced the reports of the Secretary-General on the subject.

Mr. MSELLE, Chairman of the Advisory Committee, introduced that body's report on the subject.

MICHAEL R. BOYNTON (United States) said the missions had made important accomplishments; his Government had made voluntary contributions because of their importance. He noted the success of the use of competitive bulk purchasing, which had resulted in economies of scale. Savings were also being achieved by use of the new wet-lease procedure for contingent-owned equipment. Such efforts were appreciated.

The Committee concluded its general discussion of the Haiti missions.

Other Matters

DJAMEL MOKTEFI (Algeria) said that his delegation wished to make some comments, regarding the problem of the composition of the team sent by Headquarters to negotiate reimbursement for contingent-owned equipment for the United Nations Preventive Deployment Force (UNPREDEP). Objective information was sought. The ACABQ had stated in certain of its reports that nine troop- contributing countries had chosen wet-lease arrangement, and that gratis personnel had carried out the negotiations with them in that regard. Those personnel had been up the same nationalities as the three main troop

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contributors. The ACABQ believed, it was stated, that gratis personnel should not undertake such negotiations, and, further, that the question of nationality might give rise to conflict of interest. New information on the subject had come to light, and the Chairman of the ACABQ was asked to communicate that information to the Committee.

Mr. MSELLE, Chairman of the Advisory Committee, said that he did not have all of the documentation with him, but wished to make a statement anyway. The Advisory Committee was always very careful when it prepared reports as it knew they were read carefully. Facts were checked and rechecked. Sometimes information would take days going back and forth between it and the Secretariat.

Information received in writing by the Advisory Committee from the Secretariat had indicated that gratis personnel, rather than Headquarters' staff, had been involved in the negotiations in question, he said. The information received -- dated 25 March -- had been quite specific and had provided the names of the countries to which the personnel belonged. If there had been different information given to the Committee regarding the veracity of the written communication, that change would have to be explained. He could not see how someone could state that three people of such nationalities had gone, and be wrong about the information. The Board of Auditors' report had included a section on the use of gratis personnel -- part of the comment was that gratis personnel were used for this kind of negotiations. Therefore, the Board of Auditors was also making such revelations.

Mr. YEO, Director of the Peacekeeping Finance Division, said he just wished to confirm that the Committee had been provided with information in writing on the question. However, the information provided to the Field Administration and Logistics Division had been misleading. New information would be provided at the informal consultations this afternoon.

COMPTON PERSAUD, Chief of the Finance Management and Support Service, Department of Peacekeeping Operations, said he wished to apologize for the erroneous information that had been supplied. In the case of UNPREDEP, a team of three people had gone to discuss the new arrangements for contingent-owned equipment and the question of death and disability. However, there had been no negotiations carried out by the three gratis personnel in the case of UNPREDEP, but there had indeed been circumstances in other cases where gratis personnel had been involved in various processes. The information provided to the ACABQ had been incorrect and a corrigendum had been issued clarifying the role of the personnel.

Mr. MOKTEFI (Algeria) said his delegation had taken note of the comments made. However, the regrettable finding that had just been noted -- that the ACABQ had been given incorrect information -- had negatively affected the work of the Committee. Was incorrect information submitted as a matter of routine? he asked. Algeria was duly concerned.

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