Resolution A.906(22)

 

WORK PROGRAMME AND BUDGET FOR THE TWENTY-SECOND FINANCIAL PERIOD 2002-2003

(Adopted on 29 November 2001)

 

A. WORK PROGRAMME AND BUDGET FOR 2002-2003

 

THE ASSEMBLY,

 

RECALLING Article 15 of the Convention on the International Maritime Organization and in particular paragraphs (f) and (g) thereof with regard to the functions of the Assembly in relation to the work programme and budget,

 

RECALLING FURTHER resolution A.726(17) by which the revised assessment formula for apportioning the contributions of Member States to the Organization's budget and amendments to the Rules of Procedure of the Assembly concerning enforcement of the payment of contributions were approved,

 

NOTING the provision of Article III of the Financial Regulations with regard to the preparation of the programme budget estimates,

 

1. APPROVES the work programme submitted by the Secretary-General comprising twelve major programmes which are divided into programmes and sub-programmes;

 

2. DECIDES that:

 

(a) For the financial period 2002-2003 appropriations are here voted for the following purposes:

 

 

(b) The appropriation voted in subparagraph (a) above shall be financed by contributions from Member States after reduction for miscellaneous income (estimated at Ј400,000 for the biennium), and for a transfer from the surplus in the Printing Fund of Ј800,000 during the biennium;

 

(c) Transfers of uncommitted balances of appropriations to the same major programme of the budget in the second calendar year other than those authorized by Article IV of the Financial Regulations, and transfer of appropriations between major programmes of the budget, shall only be carried out with the prior concurrence of the Council;

 

(d) In respect of each of the calendar years 2002 and 2003 covered by the financial period, the approved meetings shall be as in Appendix 1, the approved posts as in Appendix 2, and the appropriations and assessments shall be those indicated under the relevant programme headings in Appendix 3; and

 

NOTING the provision in regulation 5.1 of the Financial Regulations and Rules concerning the use of the Working Capital Fund to finance the approved appropriation pending receipt of contributions,

 

RECOGNIZING ALSO that exceptional and unforeseen circumstances could arise pending receipt of contributions and when the funds in the Working Capital Fund are insufficient to finance the approved appropriations,

 

3. AUTHORIZES the Secretary-General to draw upon the Printing Fund, the Headquarters Capital Fund, the Technical Co-operation Fund and the Termination Benefit Fund, to finance the approved appropriations. Advances made from these Funds to finance budgetary appropriations during a financial period shall be reported to the Council immediately and reimbursed to each respective Fund as soon as and to the extent that income is available for that purpose,

 

RECOGNIZING further the provision in regulation 3.8 of the Organization's Financial Regulations and Rules concerning supplementary estimates and the past practice of the Assembly in authorizing the Council to approve any necessary recalculation of the appropriations for the second year of the biennium,

 

4. AUTHORIZES the Council at its eighty-ninth session to review the 2003 programme budget provisions and, if it decides it is necessary, to approve any appropriate recalculation of the 2003 appropriations and assessment figures in the light of the budgetary and exchange rate situation at that time;

 

5. INVITES the attention of the Council to the above-mentioned provisions;

 

6. REQUESTS the Secretary-General to ensure their application while endeavouring to effect the maximum economies in the budget.

 

7. REQUESTS the Council to keep under review the Organization's financial framework during the 2002-2003 biennium and to report on the outcome to the twenty-third session of the Assembly.

 

B. WORKING CAPITAL FUND

 

THE ASSEMBLY,

 

RECALLING resolution A.363(IX) by which the Working Capital Fund was established in the amount of $250,000 as of 1 January 1976 by means of advances assessed on Member States,

 

RECALLING FURTHER resolution A.508(XIII) authorizing the transfer to the Working Capital Fund of $400,000 from the Printing Fund surplus, resolution A.552(13) authorizing the transfer to the Working Capital Fund of $350,000 from the General Fund cash surplus, resolution A.633(15)B increasing the level of the Working Capital Fund to Ј1.25 million by a transfer from the Exchange Reserve Fund, and resolution A.837(19) increasing the level of the Working Capital Fund to Ј2 million in two stages by the transfer of Ј375,000 in each year of the 1996-1997 biennium from the surpluses of the Printing Fund which arose at the end of 1995 and 1996,

 

NOTING that, after taking into account payments by new Members, the level of the Working Capital Fund presently stands at Ј2,005,520,

 

1. DECIDES that new Members shall be assessed for their advances to the Working Capital Fund on the basis only of the part assessed on Members as at 1 January 1976;

 

2. AUTHORIZES the Secretary-General:

 

(a) To advance from the Working Capital Fund such sums as may be necessary to finance the appropriations for the years 2002 and 2003 pending receipt of contributions from Members; such amounts so advanced shall be reimbursed to the Working Capital Fund as soon as contributions are available;

 

(b) To advance from the Working Capital Fund such sums as may be necessary to finance additional expenditure arising from movements in the rate of exchange during 2002-2003 from the rate adopted for calculation of the appropriation; sums so advanced to be returned to the Working Capital Fund as soon as possible and in a manner decided on by the Council;

 

(c) With the prior concurrence of the Council, to advance such sums as may be necessary to meet unforeseen or extraordinary expenses arising during the financial period 2002-2003, provided that such expenses are of a clearly exceptional nature and shall relate specifically to the approved work programme of the Organization and that the Council is assured that the relevant expenditure cannot be met by appropriate transfer action within the total budget approved for a calendar year;

 

3. REQUESTS the Secretary-General to report to the Council and the Assembly all advances made under the present resolution, and the circumstances relating thereto, and to submit supplementary estimates for reimbursement to the Working Capital Fund of advances made there from to meet unforeseen or extraordinary expenses.

 

C. PRINTING FUND

 

THE ASSEMBLY,

 

RECALLING that, in accordance with resolution A.100(IV), the disposal of any amount standing to the credit of the Printing Fund at the end of the financial period shall be decided by the Assembly,

 

RECALLING ALSO resolution A.307(VIII) of 17 December 1973, concerning the charging of expenditure to the Printing Fund,

 

RECALLING ALSO resolution A.873(20) of 27 November 1997 by which the Assembly authorized the Secretary-General to transfer, at the beginning of each year from 1 January 2000, all surplus funds from the Printing Fund to the Technical Co-operation Fund, unless otherwise decided by the Assembly,

 

RECALLING ALSO resolution A.877(21) of 2 December 1999 by which the Assembly authorized the Secretary-General to charge the attributable indirect costs associated with the printing of the Organization's publications, with effect from the twenty-second financial period, to the Printing Fund and displayed on the Printing Fund accounts;

 

1. APPROVES that the amount standing to the credit of the Printing Fund at the end of the financial period 1998-1999 shall be carried forward to the Printing Fund for the financial period 2000-2001;

 

2. DECIDES that the interest earnings accruing in the Printing Fund shall continue to be credited to the Printing Fund;

 

3. DECIDES that the direct costs associated with the Organization's printing and publishing activities funded wholly by the regular budget be reimbursed from the Printing Fund on a phased basis: 60% of the direct costs of the Publishing Service including relevant financial services would be recovered in 2002-2003 and 100% of the direct costs shall be recovered in 2004-2005. These transfers shall be displayed on the Printing Fund accounts. In respect of each of the calendar years 2002 and 2003 covered by the financial period, the approved appropriations voted to meet the Organization's printing and publishing activities financed from the Printing Fund shall be as in Appendix 4;

 

4. AUTHORIZES the Secretary-General to make the transfer noted in paragraph 2(b) of Part A of this resolution and additionally;

 

(a) To transfer at 1 January 2002, Ј1,750,000 from the balance of the 2001 Printing Fund surplus to the Technical Co-operation Fund, as noted in paragraph l(a) of Part E of this resolution;

 

(b) To transfer at 1 January 2002 an additional amount of Ј500,000 of the balance of the Printing Fund surplus at 31 December 2001 to the Technical Co-operation Fund as noted in paragraph l(b) of Part E of this resolution, with the purpose of assisting developing countries to strengthen their capacity to review and respond to the risks of terrorism in the maritime sector and to help give effect to Assembly resolution A.924(22) on Review of measures and procedures to prevent acts of terrorism which threaten the security of passengers and crews and the safety of ships;

 

(c) To transfer at 1 January 2002 an additional amount of Ј2,800,000 being equivalent to 40% of the balance of the Printing Fund surplus at 31 December 2001 to the Technical Co-operation Fund, as noted in paragraph l(c) of Part E of this resolution;

 

(d) To transfer Ј200,000 from the surplus of the Printing Fund at 1 January 2002 to establish a new Training and Development Fund, as noted in paragraph 2 of Part G of this resolution;

 

(e) To transfer at 1 January 2002 an additional amount of Ј700,000 being equivalent to 10% of the balance of the Printing Fund surplus at 31 December 2001 to the Headquarters Capital Fund, as noted in paragraph l(b) of Part D of this resolution;

 

(f) To transfer at 1 January 2003, Ј1,750,000 from the balance of the 2002 Printing Fund surplus to the Technical Co-operation Fund, as noted in paragraph l(d) of Part E of this resolution; and

 

(g) To transfer at 1 January 2003 an additional amount of Ј500,000 of the balance of the Printing Fund surplus at 31 December 2002 to the Technical Co-operation Fund as noted in paragraph l(e) of Part E of this resolution with the purpose described at sub-paragraph (b) above.

 

D. HEADQUARTERS CAPITAL FUND

 

THE ASSEMBLY,

 

RECALLING that the Assembly decided at its eighteenth regular session, in resolution A.778(18), on the establishment of the Headquarters Capital Fund by transferring the balance held in the Headquarters Installation Fund and by transfers from the Printing Fund of Ј500,000 in 1994 and Ј250,000 in 1995,

 

RECALLING ALSO that:

 

(a) a Headquarters Capital Fund was established effective 1 January 1994. Its primary purposes shall be to meet the capital expenditure necessary for the efficient operation of the Organization, and for fulfilling the Organization's liabilities under the terms of the Lease for the Headquarters building between the Organization and the United Kingdom Government. The scope of the Fund may also include:

 

(i) expenditure on repairs to or replacement of apparatus and machinery for the Headquarters building (other than regular, planned maintenance costs);

 

(ii) purchase and installation of: office automation equipment, office furniture and equipment; telecommunications equipment; document production machinery:

 

(iii) official vehicles;

 

(iv) other items of capital equipment which relate to the primary purposes of the Fund: and

 

(v) expenditure on the design, installation and implementation, including training, of office automation systems.

 

RECALLING ALSO that the Assembly decided that the Fund shall be replenished from time to time by such transfers from other funds of the Organization as may be approved by the Assembly or by any transfer of funds from the Organization's regular budget as may be approved by the Assembly,

 

NOTING that the Fund has enabled the Secretary-General to plan for and implement major capital programmes since 1994 notably in the field of office automation and communications which improve the Organization's efficiency and effectiveness,

 

NOTING ALSO that the capital expenditure programme for the next biennium indicates that fresh transfers of funds are required to rebuild the base of the Fund,

 

1. AUTHORIZES the Secretary-General:

 

(a) To transfer Ј500,000 from the surplus of the General Fund at 1 January 2002 to the Headquarters Capital Fund;

 

(b) To transfer at 1 January 2002 an additional amount of Ј700,000 being equivalent to 10% of the balance of the Printing Fund surplus at 31 December 2001 to the Headquarters Capital Fund; and

 

(c) To transfer Ј500,000 from the surplus of the General Fund at 1 January 2003 to the Headquarters Capital Fund.

 

2. AUTHORIZES the Secretary-General to draw up to Ј200,000 from the Headquarters Capital Fund to finance the cost of software development during 2002-2003 biennium;

 

3. APPROVES that the income arising from investments of the Headquarters Capital Fund shall continue to be credited to the Headquarters Capital Fund.

 

E. TECHNICAL CO-OPERATION FUND

 

THE ASSEMBLY,

 

RECALLING resolution A.593(14) of 20 November 1985 by which the Technical Co-operation Fund was established, and which resolved that the interest shall be used to assist the Technical Co-operation Programme of the Organization in accordance with the proposals approved by the Assembly,

 

RECALLING FURTHER resolution A.837(19) of 23 November 1995 by which the funds from the Technical Co-operation Fund were drawn down and converted into pounds sterling for application to technical co-operation activities, and which further enables the level of the funds to be increased by donor contributions and by transfer from other funds of the Organization as may be approved by the Assembly,

 

RECALLING ALSO resolution A.873(20) of 27 November 1997 by which the Assembly authorized the Secretary-General to transfer, at the beginning of each year from 1 January 2000, all surplus funds from the Printing Fund to the Technical Co-operation Fund, unless otherwise decided by the Assembly,

 

NOTING that the Assembly decided upon transfers from the General Fund of Ј500,000 in 1996 and Ј500,000 in each year of 1998 and 1999 and from the Printing Fund of Ј2.3 million in 1996, Ј700,000 in 1997 and Ј500,000 in each year of 1998 and 1999 to the Technical Co-operation Fund to carry out its technical co-operation activities,

 

NOTING with concern the continued decline of the extra-budgetary funds donated to the Organization for technical assistance and the very low level of funds available to finance the Integrated Technical Co-operation Programme of the Organization,

 

RECOGNIZING the need to finance a core programme of technical co-operation, which will assist developing countries in the implementation of the Organization's conventions and instruments,

 

1. AUTHORIZES the Secretary-General:

 

(a) To transfer Ј1,750,000 from the surplus of the Printing Fund at 1 January 2002 to the Technical Co-operation Fund;

 

(b) To transfer at 1 January 2002 an additional amount of Ј500,000 of the balance of the Printing Fund surplus at 31 December 2001 with the purpose of assisting developing countries to strengthen their capacity to review and respond to the risks of terrorism in the maritime sector and to help give effect to Assembly resolution A.924(22) on Review of measures and procedures to prevent acts of terrorism which threaten the security of passengers and crews and the safety of ships;

 

(c) To transfer at 1 January 2002 an additional amount of Ј2,800,000 being equivalent to 40% of the balance of the Printing Fund surplus at 31 December 2001 to the Technical Co-operation Fund;

 

(d) To transfer Ј1,750,000 from the surplus of the Printing Fund at 1 January 2003 to the Technical Co-operation Fund; and

 

(e) To transfer at 1 January 2003 an additional amount of Ј500,000 of the balance of the Printing Fund surplus at 31 December 2002 to the Technical Co-operation Fund with the purpose described at sub-paragraph (b) above.

 

2. APPROVES that the income arising from investments of the Technical Co-operation Fund shall continue to be credited to the Technical Co-operation Fund;

 

3. REQUESTS the Secretary-General to submit programmes of technical co-operation activities indicating outputs and end results from the use of the Fund's resources during the 2002-2003 biennium.

 

F. TERMINATION BENEFIT FUND

 

THE ASSEMBLY,

 

NOTING the Organization's liability for termination indemnity and repatriation grants of approximately Ј5.0 million as at 31 December 1999,

 

RECALLING resolution A.837(19) by which the Termination Benefit Fund was established by an initial transfer of Ј900,000 from the cash surplus of the General Fund as at 1 January 1996 to meet the costs associated with payment of termination benefit to the staff of the Organization,

 

RECALLING ALSO that the Assembly decided that the Fund shall be replenished from time to time by such transfers from other funds of the Organization as may be approved by the Assembly and by the transfer of funds from the Organization's regular budget as may be approved by the Assembly and that the Fund shall be administered in accordance with the Financial Regulations and Rules of the Organization,

 

NOTING that the Assembly decided upon the transfer from the General Fund of Ј250,000 in each year of 1998 and 1999 to meet the costs associated with termination benefit payments to the staff of the Organization,

 

NOTING ALSO that, after taking into account payments to former staff members in connection with separation from service, the level of the Termination Benefit Fund presently stands at Ј1.2 million,

 

1. AUTHORIZES the Secretary-General:

 

(a) To transfer Ј250,000 from the surplus of the General Fund at 1 January 2002 to the Termination Benefit Fund; and

 

(b) To transfer Ј250,000 from the surplus of the General Fund at 1 January 2003 to the Termination Benefit Fund.

 

2. APPROVES that income arising from investments of the Termination Benefit Fund shall be credited to the Termination Benefit Fund,

 

3. DECIDES that the scope of the Fund shall be widened to allow the financing of the additional costs of temporary assistance required to replace staff on long-term sick leave.

 

G. TRAINING AND DEVELOPMENT FUND

 

THE ASSEMBLY,

 

RECALLING that the Assembly at its twenty-first regular session in November 1999 decided that the Organizational Review of the Secretariat should be conducted during 2001 and approved the terms of reference of the review, and that the report of the review was considered by the Council at its eighty-sixth session,

 

RECALLING ALSO that the Council at its eighty-sixth session decided to convene an Intersessional Working Group open to participation by the whole Membership to discuss the report of the review and the Secretary-General's initial reactions to the recommendations,

 

NOTING that under the guidance of the Council, the organizational reforms which are being implemented will generate further efficiency savings as well as improved service standards in the delivery of the work programme of the Organization,

 

1. DECIDES that a new Fund should be established to finance organizational strengthening initiatives and that the Fund be administered in accordance with the Financial Regulations and Rules of the Organization;