Contents
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XIV. Administrative and financial matters
A. Audited accounts for 1960-61
B. Audited accounts for 1962 - European
commission for the control of foot-and-mouth disease, 1962
C. Audited accounts for 1961 - Expanded
program of technical assistance
D. Audited accounts for 1962 - Expanded
program of technical assistance
E. Audited accounts for 1961 - United nations
special fund
F. Audited accounts for 1962 - United nations
special fund
G. Audited accounts for 1962 - World food
program
H. Financial position of the organization
I. Scale of contributions 1964-65
J. Amendment to financial regulations
K.
Working capital fund
L.
Publications revolving fund
M. Contributions and advances by new members
and associate members
N. Distribution of FAO publications to
governments
O.
Headquarters accommodation
A. Audited accounts for 1960-61
Regular program and freedom from hunger campaign, 1960-61
European commission for the control of foot-and-mouth disease, 1961
Regular program and freedom from hunger campaign, 1960-61
545. The Conference considered and approved the audited accounts of the Organization and of the Freedom from Hunger Campaign for the financial period 1960-61 ended 31 December 1961 and the Report of the External Auditor thereon as submitted by the Thirty-Ninth Session of the Council, and adopted the following resolution:
Audited accounts for 1960-61
THE CONFERENCE
Having examined the audited accounts of the Regular Program and the Freedom from Hunger Campaign for the financial period 1960-61 and the External Auditor's Report thereon,
Adopts the said audited accounts for the above-mentioned period.
(Adopted 2/12/63)
European commission for the control of foot-and-mouth disease, 1961
546. The Conference considered and approved the audited accounts of the European Commission for the Control of Foot-and-Mouth Disease for the year ended 31 December 1961 and the Report of the External Auditor thereon as submitted by the Thirty-Ninth Session of the Council, and adopted the following resolution:
European Commission for the Control of Foot-and-Mouth Disease, Audited accounts for 1961
THE CONFERENCE
Having examined the audited accounts of the European Commission for the Control of Foot-and-Mouth Disease for the financial year 1961 and the External Auditor's Report thereon,
Adopts the audited accounts for the above-mentioned year.
(Adopted 2/12/63)
B. Audited accounts for 1962 - European commission for the control of foot-and-mouth disease, 1962
547. The Conference considered and approved the audited accounts for the calendar year 1962 of the European Commission for the Control of Foot-and-Mouth Disease, and the Report of the External Auditor thereon as submitted by the Forty-First Session of the Council, and adopted the following resolution:
European Commission for the Control of Foot-and-Mouth Disease, Audited accounts for 1962
THE CONFERENCE
Having examined the audited accounts of the European Commission for the Control of Foot-and-Mouth Disease for the financial year 1962 and the External Auditor's Report thereon,
Adopts the audited accounts for the above-mentioned year.
(Adopted 2/12/63)
C. Audited accounts for 1961 - Expanded program of technical assistance
548. The Conference considered and approved the audited accounts for the Expanded Program of Technical Assistance for the year 1961 and the Report of the External Auditor thereon as submitted by the Thirty-Ninth Session of the Council, and adopted the following resolution:
Audited accounts, Expanded Program of Technical Assistance, 1961
THE CONFERENCE
Having examined the audited accounts of the Expanded Program of Technical Assistance for the financial year 1961 and the External Auditor's Report thereon,
Adopts the audited accounts for the above-mentioned year.
(Adopted 2/12/63)
D. Audited accounts for 1962 - Expanded program of technical assistance
549. The Conference considered and approved the financial statement of the Expanded Program of Technical Assistance for the year 1962 and the Report of the External Auditor thereon as submitted by the Forty-First Session of the Council, and adopted the following resolution:
Audited accounts, Expanded Program of Technical Assistance, 1962
THE CONFERENCE
Having examined the audited accounts of the Expanded Program of Technical Assistance for the financial year 1962 and the External Auditor's Report thereon,
Adopts the audited accounts for the above-mentioned year.
(Adopted 2/12/63)
E. Audited accounts for 1961 - United nations special fund
550. The Conference considered and approved the audited accounts of the United Nations Special Fund for 1961 and the External Auditor's Report thereon as submitted by the Thirty-Ninth Session of the Council, and adopted the following resolution:
Audited accounts, United Nations Special Fund, 1961
THE CONFERENCE
Having examined the audited accounts of the United Nations Special Fund operations of FAO for the calendar year 1961 and the External Auditor's Report thereon,
Adopts the said audited accounts for the above- mentioned year.
(Adopted 2/12/63)
F. Audited accounts for 1962 - United nations special fund
551. The Conference considered and approved the audited accounts of the United Nations Special Fund for 1962 and the External Auditor's Report thereon as submitted by the Forty-First Session of the Council, and adopted the following resolution:
Audited accounts, United Nations Special Fund, 1962
THE CONFERENCE
Having examined the audited accounts of the United Nations Special Fund for the financial year 1962 and the External Auditor's Report thereon,
Adopts the audited accounts for the above-mentioned year.
(Adopted 2/12/63)
G. Audited accounts for 1962 - World food program
552. The Conference considered and approved the financial statements of the World Food Program for the year 1962 and the Report of the External Auditor thereon as submitted by the Forty-First Session of the Council, and adopted the following resolution:
Audited accounts, World Food Program, 1962
THE CONFERENCE
Having examined the audited accounts of the World Food Program for the year 1962 and the External Auditor's Report thereon,
Adopts the audited accounts for the above-mentioned year.
(Adopted 2/12/63)
H. Financial position of the organization
553. In reviewing the financial position of the Organization, the Conference shared the concern of the Council at the increase in contributions in arrears and in unpaid current contributions (1963). It noted that as of 28 November 1963 the total contributions due amounted to approximately $ 1,262,000 and that if no substantial additional payments are made by the 31 December 1963, a cash deficit would arise. This would be the first time in the history of the Organization that such a situation would prevail.
554. The Conference therefore appealed to all Member Nations whose contributions had not been fully paid to take all possible action to ensure that the outstanding amounts were paid by 31 December 1963.
555. The Conference stressed that, if contributions are not paid when due, the Organization is seriously handicapped in carrying out its Program of Work. A cash deficit on the current biennium would have serious implications for the Program of the ensuing biennium. It would also make impossible the financing of the emergency action for the control of livestock diseases, a project which had the full support of the Conference.
556. The Conference took note of the increased number of Member Nations in arrears and urged that this worsening financial situation be carefully weighed in considering the level of future budgets of FAO.
I. Scale of contributions 1964-65
557. A provisional draft of the proposed Scale of Contributions for 1964-65 had been recommended by the Fortieth Session of the Council for adoption by the Conference subject to the appropriate adjustments arising from the admission of new Members and the change of status of Associate Members to full membership in the Organization.
558. The Conference examined the thus amended provisional draft of the Scale of Contributions for 1964-65, noting that, according to the decisions of the Eighth Session of the Conference, the Scale was based on the United Nations Scale of Assessments for the year 1963 as established at the Eighteenth Session of the General Assembly of the United Nations (United Nations General Assembly Document, Eighteenth Session, Supplement No. 10, A/5510).
559. The Conference consequently adopted the following resolution:
Scale of Contributions 1964-65
THE CONFERENCE
Having considered the Report of the Fortieth Session of the Council,
Noting the United Nations Scale of Assessments for 1962-63-64 as amended by the Eighteenth Session of the General Assembly of the United Nations,
Decides to adopt for use in 1964 and 1965 the Scale of Contributions set out in Appendix D, which is derived from the above United Nations Scale ale of Assessments as in force in 1963.
(Adopted 2/12/63)
J. Amendment to financial regulations
560. The Eighth Session of the Conference decided by Resolution No. 45/55 that legal obligations for fellowships awarded under the Regular Program should be recorded in the accounts in the same manner as that adopted by the Technical Assistance Board for fellowships awarded under the Expanded Program of Technical Assistance (EPTA), i.e. a fellowship, when it is awarded, constitutes a commitment for the full amount of its cost. At that time the Conference felt it desirable to defer any amendment to Financial Regulation 4.3 pending further practical experience on the fellowships of the Regular Program.
561. In the light of the experience gained since 1956, the Council at its Fortieth Session agreed with the recommendation of the Finance Committee, that the definition of legal obligations for fellowships as set out in Conference Resolution No. 45/55, should now be incorporated in the Financial Regulations.
562. The Conference agreed with the recommendations of the Council and the Finance Committee and decided that Financial Regulation 4.3 should be amended as follows:
(Additions underlined; deletions in square brackets)
563. The Conference noted that the Financial Regulations required the reporting of ex gratia payments to the following session of the Finance Committee, while financial reporting requirements provided that such payments be also set forth in the audited accounts as well. Since the audited accounts afforded the opportunity for appropriate comments by the External Auditor, the Conference decided that Financial Regulation 10.3 be amended to read as follows:
(Additions underlined; deletions in square brackets)
Repayment of loan from the working capital fund
Level of the working capital fund
Application of cash surpluses of 1958-59 and 1960-61
Withholding distribution of excess credits
Repayment of loan from the working capital fund
564. The Conference noted that the Council at its Fortieth Session (June 1963) by Resolution No. 6/40 authorized the Director-General to withdraw from the Working Capital Fund an amount of $100,000 to meet in part the unbudgeted expenditure resulting from the changes of the post adjustment for staff in the Professional category and above, and of the cost-of-living adjustment for General Service category staff at Headquarters. (The total cost of these adjustments amounted to $299,000; the balance of $199,000 was to be met from savings in the 1962-63 budget.)
565. The Conference also took note that the Miscellaneous Income of the current biennium substantially exceeded the original estimate. It therefore decided that the loan from the Working Capital Fund should be reimbursed from such excess income. It adopted the following resolution:
Reimbursement of loan to Working Capital Fund
THE CONFERENCE
Noting that the Fortieth Session of the Council authorized a withdrawal from the working Capital Fund of up to $ 100,000 to meet in part the unbudgeted expenditure resulting from the change in the post adjustment for staff in the Professional category and above, and from the cost-of-living adjustment for General Service category staff at Headquarters,
Noting that in accordance with Financial Regulation 6.5 (b) advances made from the Working Capital Fund shall he reimbursed by such method as the Conference determines, and
Further noting that Miscellaneous Income in 1962-63 has substantially exceeded the original estimate,
Decides that notwithstanding the provisions of Financial Regulation 6.1 (b) an amount of up to $ 100,000 from the excess Miscellaneous Income of 1962-63 shall be used to reimburse the Working Capital Fund for the above-mentioned withdrawal.
(Adopted 2/12/63)
Level of the working capital fund
566. The current level of the Working Capital Fund was determined by the Ninth Session of the Conference in 1957 by Resolution No. 54/57 at an amount of $ 1,900,000 effective 1 January 1958.
567. At its Eleventh Session the Conference reconsidered the level of the Working Capital Fund in relation to the level of the budget, but deferred action on the matter, as the Finance Committee had proposed to consider the question in 1962. The Finance Committee at its Seventh Session in 1962, reviewed the proposal by the Director-General that the level of the Fund be increased to $ 3,000,000. However, taking past experience into account and having regard to the fact that the Organization's budget contains a contingency chapter, the Finance Committee was of the opinion that an increase to $2,500,000 from 1 January 1964 should prove adequate.
568. The Council endorsed the Finance Committee's recommendations.
569. The Conference took into account that under Financial Regulation 6.2 (b) (ii) the amount of the advances of new Member Nations to the Working Capital Fund are considered as an increase to the level of the Fund, unless the Conference determines otherwise and that due to the accession of new Members since 1957, the theoretical levels of the Fund was now $ 1,933,936.
570. When the level of the Working Capital Fund was established at $ 1,900,000, the biennial budget of the Organization amounted to $ 17,000,000 (or $ 8,500,000 for assessment purposes annually). The biennial budget for 1962-63 had increased to $ 29,190,800 (the above figures exclude the lump-sum EPTA allocation).
571. In view of the increased level of the budget, the Conference concurred with the recommendation of the Finance Committee as endorsed by the Council and decided to increase the level of the Working Capital Fund to $ 2,500,000 effective 1 January 1964.
Application of cash surpluses of 1958-59 and 1960-61
572. In considering ways and means by which the proposed increase of the Working Capital Fund can be achieved, the Conference noted that in accordance with Resolution No. 35/61 of its Eleventh Session, the Director-General had withheld the release of the cash surplus for the financial period 1958-59 amounting to $ 56,925. The Conference also noted that by Resolution NO. 6/39 the Council had authorized the Director-General to withhold the release of the cash surplus for the financial period 1960-61 amounting to $ 461,558.
573. The Conference decided that these two cash surpluses which together totalled $ 518,483, should be applied toward the increase of the Working Capital Fund.
Withholding distribution of excess credits
574. The Conference observed that in accordance with Financial Regulation 6.2 (6) (iv), there shall be a reassessment when the Conference decides to change the level of the Working Capital Fund. The Conference noted that when the reassessment is effected, because of the changes in the Contribution Scale, there will be Member Nations which, in spite of the increase of the Working Capital Fund, will have some excess credits releasable to them under the normal working of the Financial Regulations (Financial Regulation 6.2 (b) (iv) ). The Conference decided to postpone the release of such excess credits until 1965, in order to safeguard the financial position of the Organization, in the expectation that by 1966 such Member Nations as will have to supplement their advances to the Working Capital Fund will have paid them.
575. The Conference therefore adopted the following resolution:
Level of the Working Capital Fund
THE CONFERENCE
Noting that the Finance Committee recommended that the level of' the Working Capital Fund be increased to $ 2,500,000 and that the cash surpluses of the 1958-59 and 1960-61 budgetary periods be applied toward the increase, and
Noting further that the Council at its Thirty-Ninth Session concurred in the recommendation of the Finance Committee,
Decides that as from 1 January 1964 the level of the Working Capital Fund should be $ 2,500,000 and that in accordance with the provisions of Financial Regulation 6.2 (b) (IV) there shall be a reassessment;
Authorizes the Director-General notwithstanding the provisions of Financial Regulation 6.1 (b), to apply the cash surpluses of 1958-59 and 1960-61, amounting respectively to $ 56,925 and $ 461,558 and totalling $ 518,483 to the credits of Member Nations in the Working Capital Fund; and
Further authorizes the Director-General notwithstanding the provisions of Financial Regulation 6.2 (b) (VI) to withhold the release and distribution of any excess credits in the Working Capital Fund until the beginning of the second calendar year of the biennium 1964-65.
(Adopted 2/12/63)
L. Publications revolving fund
576. The Conference adopted the following resolution:
Publications Revolving Fund
THE CONFERENCE
Approves the budget for the 1964-65 biennium for the Publications Revolving Fund as presented by the Director-General and contained in Annex XIII to the 1964-65 Program of Work and Budget (document C 63/3), including an allocation not exceeding $ 20,000 for sales promotion purposes in the biennium 1964-65.
(Adopted 5/12/63)
M. Contributions and advances by new members and associate members
577. In accordance with the provisions of Article XVIII.3 of the Constitution, Rule XIX.3 of the General Rules of the Organization and Financial Regulation 5.8, the Conference decided that the contributions to be paid by the newly-admitted Member Nations and Associate Members for the year 1963 would be as follows:
Member Nations:
| Algeria | $ 4,650 |
| Burundi | 1,450 |
| Rwanda | 1,450 |
| Trinidad and Tobago | 1,450 |
| Uganda | 1,450 |
Associate Members:
| Kenya | $ 850 |
| Malta | 850 |
| Zanzibar | 850 |
578. In accordance with Financial Regulation 6.2 (b) (ii), the advances to the Working Capital Fund by new Member Nations are as follows:
| Algeria | $ 3,250 |
| Burundi | 1,000 |
| Rwanda | 1,000 |
| Trinidad and Tobago | 1,000 |
| Uganda | 1,000 |
N. Distribution of FAO publications to governments
579. The Conference approved the report on the distribution of FAO publications to governments (c 63/ 58), prepared by the Director-General in compliance with the request it had made at its Eleventh Session, and thereby confirmed the formula it had accepted in principle at that session namely to apply quotas of publications for Member Governments related to percentages and not to sums of annual contributions.
580. The Conference emphasized that the primary objective of the preparation and issue of FAO publications is to serve Member Governments. These in turn should ensure effective redistribution to their appropriate institutions and services, and thus assist in disseminating knowledge of the work of the Organization. In this regard, the Conference requested the Director-General to review Divisional free mailing lists from time to time so as to avoid unnecessary duplication in the presentation of copies to persons already receiving them through their governments.
581. The Conference expressed its warm appreciation to the Government of the Republic of Italy for the outstanding assistance rendered to the Organization in all phases of Headquarters accommodation and related matters.
582. The Conference urged the Italian Government to continue recent special efforts to accelerate the construction of the new wing, Building C, with new to making the building available for complete occupancy in the very early months of 1964.
583. Noting that additional permanent premises would be required even after completion of Building C, the Conference endorsed the request to the Italian Government for the allocation to the Organization, at a not too distant time, of the building adjoining the existing Headquarters premises.
584. The Conference also noted negotiations which commenced in 1961 with the Italian Government concerning certain improvements in the boundaries of the Headquarters site were not yet completed.
585. The Conference was informed by the Italian delegation that the Government planned to give early and sympathetic attention to all of the Organization's requests.
Contents
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