Background

The Committee was provided with details of the results of the census carried out on 18 July 2003 which would form the basis for cost sharing for system-wide security management for 2004-2005. In this context the Committee was invited to consider whether to maintain the formula adopted for the biennium 2002-2003 by which organizations with less than 0.5 per cent and between 0.5 and 1 percent of the total field workforce had paid a flat rate. [N.B. in 2002-2003: - For less than 0.5 per cent the flat rate was determined to be $25,000 for the biennium; - For between 0.5 and 1 percent the flat rate was determined to be $100.000.]

Discussion

No detailed record of the discussion on this topic was recorded.

Action

The Committee was concerned about the application of relatively small flat rates in the context of increasing overall costs and considered inter alia whether the flat rate should not be expressed as a percentage of the total budget to be cost-shared.

After careful consideration and taking account of general concerns for the budget process and the application of the cost sharing formula, the Committee decided:

  • To retain the 2002-2003 cost sharing formula for the forthcoming biennium 2004-2005;To request that the Secretariat circulate details of the applications of that formula in respect of the anticipated 2004-2005 budget of some US $69 million (the details are contained in Annex 5);
  • To invite organizations to urgently clear the details of the cost-sharing arrangement and make any final adjustments to the data within a week of their receipt;
  • To request that the UN Budget Division, together with UNSECOORD, provide organizations with a more detailed rationale for increases to the overall collective security budget well in advance of the adoption of the cost sharing formula for 2006-2007;
  • To invite the Secretariat to compile a detailed analysis of all security related costs (headquarters and field) being met by each of the organizations of the system;
  • Also requested that the Secretariat  prepare options for future cost-sharing arrangements including different approaches for the establishment of minimum “solidarity” rates of participation and an analysis of any distortion that had been observed in applying the thresholds of 0.5 and 1.0 per cent;
  • To continue to seek, through CEB and governing bodies, support from Member States for earmarking a greater proportion of assessed contributions for safety and security purposes.