156 EX/FA/INF.2 PARIS, 8 June 1999 English & French only UNITED NATIONS EDUCATIONAL, SCIENTIFIC AND CULTURAL ORGANIZATION EXECUTIVE BOARD Hundred and fifty-sixth Session FINANCE AND ADMINISTRATIVE COMMISSION Item 4.1 - Consideration of the Draft Programme and Budget for 2000-2001 (30 C/5) and recommendations by the Executive Board COMMENTS BY THE REPRESENTATIVE OF THE DIRECTOR-GENERAL ON THE DRAFT DECISION PROPOSED BY THE FINANCE AND ADMINISTRATIVE COMMISSION ON ITEM 4.1, TO BE RECONSIDERED AT THE 157th SESSION OF THE EXECUTIVE BOARD SUMMARY Due to the lack of time available to the Finance and Administrative Commission when examining the draft decision on this item submitted by its Working Group, the Chairperson requested the Representative of the Director-General to present a written summary of his comments on the draft decision, before the end of the current session of the Executive Board. This document lays out the views of the Director, Bureau of the Budget, on the implications of the recommendations contained in paragraph 8 of that draft decision and on the information note provided to the Commission by the Chairperson of the Working Group. 1. Paragraph 8 of the draft decision reads as follows: 8. Recommends that the General Conference approve a programme and budget on the basis of document 30 C/5 with a ceiling of $544,367,250 for the biennium 2000-2001 at an exchange rate of 5.70 FF/US $, taking into account savings of $9,560,300 to be realized from:
156 EX/FA/INF.2 - page 2 Staff travel increases planned for: - staff travel; - financial allocations; - other contributions (Annex II); established posts (Appendix VI and para. T13003); activities (para. T13003); temporary assistance; conferences and meetings; and the Publishing Office and Monthly Periodicals; changes in programmes with possible reductions in costs; in order to strengthen the Organization s activities in the fields of: the Participation Programme ($2,830,000); the E-9 countries ($2,500,000); new management and monitoring requirements ($2,500,000); statutory requirements in the Medical Benefits Fund ($1,180,100); and the Young Professionals Programme ($550,200). 2. The reduction envisaged in staff travel on official business concerns an amount of $329,900, plus recosting, shown in Annex II of document 30 C/5. The Working Group was informed that the Programme and Budget for 1996-1997 contained a provision of $11,414,700 for staff travel on official mission and that, for the current biennium (1998-1999), this provision had been cut by over 52 per cent to $6,009,800. However, the current expenditure pattern shown in the Management Chart as of 31 March 1999, indicated that this reduction had been perhaps too drastic, resulting to a large extent in the immobilization of staff especially in the field, which could only be counter-productive to the interests of Member States. The increase of $329,900 was reflected, particularly under Major Programme II, where joint efforts must be pursued, notably through intensive dialogue between Headquarters units and National Commissions and field offices, to define and implement the strategies envisaged for Africa and the Pacific. Financial allocations 3. The reduction proposed in financial allocations concerns the additional resources, totalling $1,519,100, plus recosting, which are proposed and reflected in Annex II (A) for: the UNESCO Institute for Education (Hamburg).. 600,000 the UNESCO International Institute for Capacity-Building in Africa (Addis Ababa)......... 600,000 the UNESCO Institute for Information Technologies in Education (Moscow)... 200,000 the UNESCO International Institute for Higher Education in Latin America and the Caribbean (Caracas)... 180,000 $
156 EX/FA/INF.2 - page 3 Other contributions 4. The reduction proposed under this heading ($1,530,100 plus recosting) will affect mainly the results expected under Major Programmes II and IV where the following new provisions are proposed in document 30 C/5 and reflected in Annex II: Under Major Programme II $ UNESCO contribution towards the operating costs of the new Centre for Human and Social Sciences in Byblos, Lebanon..... reinforcement of the Documentation and Research Centre in Abidjan, in collaboration with the Félix Houphoüet-Boigny Foundation for Peace... increased aid to the Biotechnology Action Council (BAC), the Physics Action Council (PAC), the International Centre for Mathematics and Applied Physics (CIMPA) and the Microbial Centre for Biology Networks......... 200,000 100,000 800,000 Under Major Programme IV Under Subprogramme IV.1.1, Freedom of expression, democracy and peace, an increase of... is foreseen. A reduction of this magnitude in UNESCO s contribution to the IFEX network and other NGOs, such as the International Press Institute and the World Press Freedom Committee, will seriously affect the Organization s efforts to strengthen the independent media in existing and new zones of conflict in their role as a major factor in the consolidation of peace processes in many parts of the world. 388,700 Established posts 5. The proposal to reduce the number of established posts was based on the wish of the Working Group to reduce the number of posts at grades D-1 and above. The initial idea was to abolish the eight additional D-1 posts shown in Appendix VI. The Group was informed, however, that the increase in D-1 posts was the result of the downgrading of D-2 posts and the upgrading of P-5 posts and that the increase observed was a matter of reclassification of certain posts, and not the creation of new posts. The proposal of the Working Group was therefore limited to the identification of and abolition of those D-1 posts that were presently vacant or to become vacant during 2000-2001. The Group noted that three such posts existed: Director of the Department for Peace, Human Rights and Tolerance (SHS/PHD) The abolition of this key post in January 2000 would undo all the efforts that have been made up to now to develop and strengthen the networks of UNESCO Chairs in human rights, peace, democracy, tolerance and the culture of peace, and to establish and maintain lines of co-operation with human rights research and training institutions, universities, NGOs and competent bodies of the United Nations system, particularly the United Nations
156 EX/FA/INF.2 - page 4 High Commissioner for Human Rights. The loss of this post will deprive the Sector of the necessary coordination over four related units: promotion of human rights and action to combat discrimination; peace and the new dimensions of security; tolerance and non-violence; democracy. Director of the Bureau for Extrabudgetary Funding The abolition of this post in April 2000 would require a major and costly restructuration of the four principal services concerned: Development Banks Division; Funds-in-Trust Division; United Nations Funds and Programmes and European Community Division; Private Funding Division. The absence of a central authority would also result in a loss of indispensable coherence for coordinating UNESCO s relations with funding partners to define fund mobilization strategies and would certainly result in a loss of extrabudgetary funding opportunities for the Organization. The absence of a Director over these services would also deprive the Director-General, or his Deputy, of first-hand advice and assistance in the preparation and organization of high-level meetings on extrabudgetary activities and in the follow-up of decisions taken, not to mention the need to ensure constant liaison between project officers, central services and funding sources. Director of Translation Services in the Bureau of Conferences, Languages and Documents The Translation Services is one of the largest divisions in the Secretariat - some 120 posts divided among six language sections, composition units and a terminology, documentation and reference section. The administrative burden that is assumed; the work arrangement and the constant search for improvement in the translation process renders this post truly indispensable for the efficient working of the governing bodies and the Organization as a whole. Its abolition in November 2000 would produce productivity losses for UNESCO, not gains. Bureau for External Relations 6. The draft decision refers to paragraph T13003 which relates to the Bureau for External Relations and suggests, on the basis of the information provided by the Working Group, that two General Service posts could be abolished, saving $220,000, and that activities under the Partnerships for the Twenty-first Century Unit could be reduced by $210,000. 7. One of the General Service posts is the very important post of documentation clerk (BRX-017 - GS-5). Abolition of this post would mean that a number of indispensable services to the Secretariat (including the Secretariats of the Executive Board and the General Conference) and to Permanent Delegations with respect to resolutions, decisions and reports emanating from the United Nations, other Specialized Agencies and interregional IGOs, that are of relevance to UNESCO s policies and programmes, would no longer be provided. The Secretariat would thus not be able to:
156 EX/FA/INF.2 - page 5 search, locate and retrieve documents from electronic databases, especially from the Optical Disk System (ODS) of the United Nations, disseminating them to the relevant Secretariat units and, upon request, to Permanent Delegations; provide references and quotations necessary for the preparation of reports to the Executive Board and the General Conference; assist the reference and translation services of the Secretariat, especially as concerns United Nations terminology; classify and keep up-to-date basic texts and programme budget documents of organizations of the United Nations system for consultation by Secretariat staff and Permanent Delegations; keep up-to-date and distribute the reference list of intergovernmental organizations with which UNESCO has concluded formal agreements. 8. The second post is a secretarial position (BRX-038 - GS-2/GS-3) the abolition of which would cause a serious disruption in the functioning of the section of BRX dealing with relations with Member States of the Latin America and Caribbean region. This is the only secretarial post in the section which consists of one Director and two P-1/P-2 Professionals. 9. Partnerships for the Twenty-first Century Unit: the arrival of the year 2000 is focusing the attention of people worldwide on the need to take stock of the past and present achievements and to work together to meet the major challenges of the twenty-first century. PTC is taking advantage of this symbolic moment to join forces with new partners who are able to put across UNESCO s message and give fresh impetus to its action. Given the importance of reaching out to civil society, this Unit is working to develop cooperation with the private sector and to mobilize support for the implementation of a wide range of initiatives. In close cooperation with programme sectors and field offices, lasting partnerships are also being set up which will continue into the third millennium and stimulate action at the national, regional and international levels. 10. UNESCO has received many hundreds of proposals for initiatives for the year 2000 of which some have been granted the patronage of UNESCO, and a limited number have been selected for implementation in association with UNESCO. The first criterion for the evaluation of these initiatives is their potential for raising greater awareness of UNESCO s aims and objectives among the public at large, and their capacity to involve new target groups in the achievement of these objectives. The second criterion concerns feasibility, dependent on support by Member State(s), financial guarantees and appropriate management structures. Priority is given to those projects which are likely to result in longer term partnerships. 11. Whereas our partners recognize that UNESCO cannot provide substantial funding for joint projects, minimal contributions from UNESCO are indispensable in order to ensure the Organization s credibility and interests. The amount provided in document 30 C/5 for these activities totals $279,200. A reduction in the order of $210,000 would result in the following: inability to meet commitments with millennial bodies of Member States; inability to meet millennial commitments for the years 2000-2001 with private sector partners presenting longer term potential;
156 EX/FA/INF.2 - page 6 inability to effectively coordinate with programme sectors and field offices hundreds of 2000 initiatives submitted by potential partners; loss of credibility, major loss of opportunity for the Organization; and would presage the abolition of this Unit at the end of the current biennium. Temporary assistance 12. The draft decision recommends a reduction in temporary assistance. The Commission should note, however, that the Secretariat has already made a significant effort in this regard. Annex II (A) to document 30 C/5 shows the following data: 29 C/5 Approved as adjusted 20,990,000 30 C/5 Scenario A (unrecosted) 18,352,500 Reduction (2,637,500) (12.6%) 13. The Working Group did not consider it feasible to effect further reductions in temporary assistance for translators and interpreters which would unduly affect the language services and, therefore, the functioning of the General Conference and the Executive Board, but it considered that reductions could be made in consultants services and supernumeraries in other Parts of the budget. 14. If further reductions are to be effected in consultants services and supernumeraries, these would fall exclusively on programme activities under Part II. To demonstrate this, the following data is extracted from Appendix II (A) (recosted): $ Provision for temporary assistance $ Remarks of the Working Group Part I General Conference and Executive Board 8,527,200 Savings not feasible Part II Programme Execution and Services 6,051,600 - Part III Part IV Bureau of Conferences, Languages and Documents 2,857,000 Savings not feasible Mainly the Young Professionals Programme and staff training activities 1,445,600 Savings not feasible Other minimum requirements 185,500 - Total 19,066,900
156 EX/FA/INF.2 - page 7 Other modalities of action and appropriation lines 15. For temporary assistance and other principal modalities of action such as conferences and meetings and publications and periodicals, the total reduction envisaged by the Working Group was $5,016,036. This figure was obtained, in the main, by comparing the expenditure pattern proposed in Appendix III (which concerns the major programmes and the transdisciplinary project under Part II.A of the budget) with the same Appendix in document 29 C/5 Approved and noting the sizeable increases reflected in document 30 C/5. 16. Once again, the impact of the proposed reductions would affect exclusively Part II of the budget and undo all the innovative efforts made by the Director-General in the elaboration of document 30 C/5 to reinforce the substantive programme activities as requested by the Executive Board in 155 EX/Decision 4.1, Section I on Programming Principles, particularly paragraphs 11, 17, 19 and 34. 17. Some examples of these efforts which have resulted in the increase in meetings are those foreseen under Education: the International EFA Forum and Assessment 2000, Expo 2000, the Technical meeting to follow-up the World Conference on Higher Education; under Science: regional consultations for the follow-up of the World Conference on Science in six regions, the International Conference on the Development of Continuing Engineering Education, the World Solar Forums (in Asia and Latin America); under Culture: the International Congress 2000 years of structure in the history of architecture, Palestine, the World Conference on Crafts for the Twenty-first Century; under Major Programme IV: the Intersectoral Project - Ethical, legal and sociocultural challenges of the information society, which foresees a number of INFOethics consultations and two meetings of the World Panel on Communication and Information. Publications Office and Monthly Periodicals 18. The UNESCO Publishing Office is composed of three substantive divisions: the Editorial and Rights Division, the Production Development, Promotion and Sales Division, and the Audiovisual Productions Division. Further reductions to those already effected in documents 29 C/5 and 30 C/5: would seriously diminish the Office s capacity to negotiate co-publications and maintain UNESCO s collection of Representative Works, which has been entrusted to this Office; would reduce the efforts being made to increase the free distribution of publications and improve stock management and the operations of the bookshops and other services; may oblige the Office to forgo its goals to adequately develop new audiovisual productions aimed at a wider audience, and to better manage and promote the Organization s priceless collection of films, video and sound recordings, and photographs, which has been built up since the creation of UNESCO. 19. Office of Monthly Periodicals. This Office has only recently been created to fuse two of the Organization s most prestigious periodicals - the UNESCO Courier and UNESCO Sources - under one directorship, the aim being to reduce costs by streamlining the management, production and distribution, while maintaining the full editorial identity of both periodicals. This has resulted in very palpable improvements in the quality of both periodicals
156 EX/FA/INF.2 - page 8 which, at the same time, has permitted a reduction of $297,300 in the allocation to this Office in Scenario A of document 30 C/5. Additional cuts, depending upon their magnitude, would have a combination of some of the following three main effects: passing to black and white reproduction instead of the present quadrichrome; reduction in the number of pages, or in the periodicity of publication; reduction in the present number of co-editions (24) produced in the field and which absorbs about 25 per cent of the regular budget of the Courier.