Pending issues arising from the work of the second
Meeting of the Conference of the Parties
The Conference of the Parties,
Having considered paragraphs 4 and 16 of the financial rules for the
administration of the Trust Fund for the Convention on Biological Diversity
and paragraph 1 of rule 40 of the rules of procedure for meetings of the
Conference of the Parties,
1. Decides to transmit to the fourth meeting of the Conference of
the Parties, for further consideration, paragraph 4 of the financial rules as
contained in the annex to the present decision;
2. Also decides to transmit to the fourth meeting of the Conference
of the Parties, for further consideration, paragraph 16 of the financial
rules as contained in annex II of decision II/20, entitled "Financing of and
budget for the Convention", contained in document UNEP/CBD/COP/2/19.
3. Further decides to transmit to its fourth meeting for further
consideration paragraph 1 of rule 40 of the rules of procedure for meetings
of the Conference of the Parties.
Annex
"It is for the Conference of the Parties to determine the scale
referred to in paragraph 3 (a) above. The scale is based on the United
Nations scale of assessments for the apportionment of the expenses of the
United Nations [adjusted to provide that no developing country Party shall be
required to pay more than any developed country Party]. This scale of
assessments shall apply unless amended by the Conference of the Parties. The
contributions referred to in paragraph 3 (a) shall be due on 1 January of
each calendar year."
Appendix
FINANCIAL RULES FOR THE ADMINISTRATION OF THE TRUST FUND
FOR THE CONVENTION ON BIOLOGICAL DIVERSITY1
1. The Conference of the Parties to the Convention shall designate
an organization (hereinafter referred to as the Trustee) which shall
establish and manage the Trust Fund for the Convention on Biological
Diversity (hereinafter referred to as the Trust Fund) in accordance with
these rules.
2. The Trust Fund shall be used for funding the administration of
the Convention, including the functions of the Secretariat.
3. The Trust Fund shall be financed from:
(a) Contributions made by Parties to the Convention based on the
scale set forth in the appendix to the budget;
(b) Additional contributions made by such Parties;
(c) Contributions from States not Parties to the Convention, as well
as governmental, intergovernmental and non-governmental organizations, and
other sources.
4. It is for the Conference of the Parties to determine the scale
referred to in paragraph 3 (a) above. The scale is to be based on the
United Nations scale of assessments for the apportionment of the expenses of
the United Nations [adjusted to provide that no developing country Party
shall be required to pay more than any developed country Party]. This scale
of assessments shall apply unless amended by the Conference of the Parties.
The contributions referred to in paragraph 3 (a) shall be due on 1 January of
each calendar year.
5. All contributions shall be paid in United States dollars or their
equivalent in a convertible currency and into a bank account to be specified
by the Trustee. In conversion of currencies into United States dollars, the
United Nations operational rate of exchange shall be used.
6. Accounting records shall be kept in such currency or currencies
as the Trustee deems necessary.
7. (a) Budget proposals expressed in United States dollars
covering the expenditure and income from contributions referred to in
paragraph 3 (a) above shall be prepared by the head of the Secretariat
(hereinafter referred to as the Executive Secretary) for periods of two
calendar years at the minimum. At least 90 days before the date fixed for
the opening of each ordinary meeting of the Conference of the Parties, these
budget proposals shall be dispatched by the Executive Secretary to all
Parties to the Convention.
(b) The budget shall, in accordance with rule 16, be approved by the
Conference of the Parties and, if necessary, be revised at an ordinary or
extraordinary meeting of the Parties.
8. Contributions referred to in paragraphs 3 (b) and (c) shall be
used in accordance with any terms and conditions agreed between the Executive
Secretary and the respective contributor. At each ordinary meeting of the
Conference of the Parties, the Executive Secretary shall present a report on
contributions received and expected as well as their sources, amounts,
purposes and conditions.
9. The Executive Secretary may commit resources against the Trust
Fund only if such commitments are covered by contributions already received.
In the event that the Trustee anticipates that there might be a shortfall in
resources over the financial period as a whole, it shall notify the Executive
Secretary, who shall adjust the budget so that expenditures are at all times
fully covered by contributions received.
10. The Trustee, on the advice of the Executive Secretary, may make
transfers from one budget line to another within the budget in accordance
with the Financial Regulations and Rules of the United Nations.
11. Contributions referred to in paragraph 3 (a) above from States
and regional economic integration organizations that become Parties to the
Convention after the beginning of a financial period shall be made pro rata
temporis for the balance of that financial period. Consequent adjustments
shall be made at the end of each financial period for other Parties.
12. Contributions not immediately required for the purposes of the
Trust Fund shall be invested, and any interest so earned shall be credited to
the Trust Fund.
13. It is for the Conference of the Parties and the Trustee to agree
on an administrative support charge to be paid to the Trustee.
14. At the end of each calendar year, the Trustee shall transfer any
balance to the following calendar year and submit to the Conference of the
Parties, through the Executive Secretary, the certified and audited accounts
for that year as soon as practicable. The Trust Fund shall be subjected to
the internal and external auditing procedure of the United Nations as laid
down in the Financial Regulations and Rules of the United Nations.
15. In the event that the Conference of the Parties decides to
terminate the Trust Fund, a notification to that effect shall be presented to
the Trustee at least six months before the date of termination selected by
the Conference of the Parties. The Conference of the Parties shall decide,
in consultation with the Trustee, on the distribution on any unspent balance
after all liquidation expenses have been met.
[16A. The Parties shall reach agreement by consensus on:
(a) The scale and any subsequent revision to it;
[16B. The Parties shall make every effort to reach agreement on the
budget by consensus. If all efforts to reach consensus on the budget have
been exhausted and no agreement has been reached, the budget shall, as a last
resort, be adopted by a [two-thirds] [four-fifths] majority vote of the
Parties present and voting representing a [two-thirds] [four-fifths] majority
vote of the developing country Parties present and voting and a [two-thirds]
[four-fifths] majority vote of the other Parties present and voting.]
17. Any amendments to these rules shall be adopted by the Conference
of the Parties by consensus.
_____________________________
1. As contained in Annex II of decision II/20 and amended by the
present decision.