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PROGRAMME, BUDGETARY, FINANCIAL AND ADMINISTRATIVE MATTERS

Programme of Work and Budget 1978-79 1

Budget Level

44. The Council recalled that at its Seventy-First Session in June 1977, there was wide spread support for the proposed level of $206.8 million at Lire 900 to the US dollar.

45. At that Session, the Council had fully supported the Director-General's general approach in arriving at a reasonable and balanced programme package, and had confirmed both the policy directions and the programme priorities in the Summary Programme of Work and Budget. It had also noted that the rate of exchange to be used for the calculation of the budget would be for final decision by the Conference.

46. The Council welcomed the useful comments of the Programme and Finance Committees, which had reviewed the final Programme of Work and Budget at their Autumn Sessions and had found that it faithfully reflected the previous views of the Council.

47. The Council noted, however, that two new factors had since arisen, The first was the need to increase the provision for the World Conference on Agrarian Reform and Rural Development by $1.3 million. Such an increase had to be made in the light of the recommen. dations of the Council at its Seventy-First Session,contacts with Member Governments and other organizations in the UN system, and the recommendations of the Group of high-level experts, Consequently, the Conference could no longer be treated as a limited technical Conference, In view of its enlarged scope, covering rural development in its broadest aspects, the Conference would be of major interest, requiring considerably more logistic support. Even so, its revised cost would be considerably less than that of comparable world conferences. The Programme and Finance Committees had reviewed this question and had accordingly recommended that the budget be increased by $1.2 million net for this purpose 2 . In this connexion, the Council noted that the Director-General would already have to reduce the proposed provisions for various programmes in order to absorb more than $800 000 in additional programme requirements, as indicated in the report of the Programme and Finance Committees.

48. The second factor was the strengthening of the lira against the dollar to around 879 The Programme and Finance Committees had stressed their concern that the Programme should be safeguarded against the effects of adverse currency and cost fluctuations, The Finance Committee had also indicated that if the Conference adopted a rate of 880, this would be equivalent to an increase in the budget of $3.2 million.

49. The Council recalled that it was explicitly clear from the time of preparation of the budget that the rate of 900 used for the Programme of Work and Budget was a provisional, rounded figure for calculation purposes, and that the Conference would select the dollar/ lira rate at which the budget was to be valued. The rate at present was 879. When the problem had arisen on previous occasions, the Conference had always selected the prevailing rate and revalued the budget accordingly.

50. The Director-General therefore now proposed to add the additional $1.2 million net for the World Conference on Agrarian Reform and Rural Development to the budget level and to revalue the budget at lire 879. This resulted in a revised budget level of $211.35 million.

51. In this connexion, the Council welcomed the information provided by the Director- General concerning certain favourable developments which would more than offset the addition to the budget level, These were that on the basis of provisional estimates:

(a) programme savings in 1976-77 of about $2 million would be achieved;

(b) subject to collection of outstanding contributions, miscellaneous income in 1976–77 would exceed the amount budgeted by approximately $5 million.

(c) budgeted miscellaneous income for 1978–79 was $3.82 million.

Consequently, the eventual net contributions of Member Nations would in fact total about $11 million less than the revised budget level of $211.35 million.

52. Taking all the factors into account, the Council approved the proposedrevised budget level of $211.35 million at lire 879, although some members either were not in a position owing to lack of instructions on the increased budget level, to express views on the new situation or had to reserve their position for the Conference discussion on the Programme of Work and Budget.

53. On this basis, the Council recommended the following draft resolution for adoption by the Conference:

DRAFT RESOLUTION FOR THE CONFERENCE

BUDGETARY APPROPRIATIONS 1978–79

THE CONFERENCE,

Having considered the Director-General's Programme of Work and Budget and the Conclusions of its Commissions,

Approves the Programme of Work proposed by the Director-General for 1978–79;

Resolves that for the financial period 1978–79:

1. Appropriations 3 are voted for the following purposes:

_$_
Chapter 1 – General Policy and Direction17 200 000
Chapter 2 – Technical and Economic Programmes95 500 000
Chapter 3 – Development Support Programmes28 560 000
Chapter 4 – Technical Cooperation Programme25 600 000
Chapter 5 – Support Services33 160 000
Chapter 6 – Common Services10 930 000
Chapter 7 – Contingencies400 000
Total effective working budget211 350 000
Chapter 8 – Transfer to Tax Equalization Fund30 800 000
Total Appropriations (Gross)242 150 000

2. The appropriations (gross) voted in paragraph 1, shall be financed by assessments on Member Nations, after deduction of the estimated 1978-79 Miscellaneous Income in the amount of $3 820 000, thus resulting in assessment against Member Nations of $238 330 000.

3. In establishing the actual amounts of contributions to be paid by individual Member Nations, the assessment of each Member Nation shall be reduced by any amount standing to its credit in the Tax Equalization Fund; provided that the credit of a Member Nation that levies taxes on the salaries, emoluments and indemnities received from FAO by staff members shall be reduced by the estimated amounts of such taxes to be reimbursed to the staff member by FAO.

4. The contributions due from Member Nations in 1978 and 1979 shall be paid in accordance with the scale adopted by the Conference at its Nineteenth Session; which contributions after the deductions of amounts standing to the credit of Member Nations in the Tax Equalization Fund, result in net amounts payable totalling US$ ........

Evaluation of AGRIS 4

54. Since the Council had already reviewed and generally endorsed the proposed programme for 1978-79 when it considered the Summary Programme of Work and Budget at its Seventy-First Session, it concentrated the remainder of its discussion of the Programme of Work and Budget on certain specific items arising out of the Programme Committee's report.

55. The Council was informed of the results of the Independent Evaluation of AGRIS (organized by Unesco at the request of FAO 5 ), as summarized in document C 77/27 together with the actions proposed by the Director-General. It also took note of the opinion expressed by the Programme Committee in this regard.

56. The Council concurred with the recommendations formulated by the evaluation team and with the action proposed by the Director-General, expressed support for the continuation of AGRIS and requested the active participation of all Member Nations in this programme which had a great potential as a means for transferring appropriate technologies, particularly for the benefit of the developing countries, and for promoting technical cooperation amongst these countries.

57. In discussing the AGRIS activities, the Council expressed its appreciation of the results achieved so far, confirmed the importance of this programme for the development of their national infrastructures in agricultural documentation, and emphasized the need for developing countries to receive technical assistance for the training of documentation staff, so as to permit adequate participation in this information system and optimum utilization of its products for the benefit of their national users.

58. Specific recommendations were also made with respect to the future development of AGRIS activities, particularly as regards a more complete coverage from some developed countries, improvement of the methodology and subject categorization for access to the information covered by AGRINDEX, and the progressive evolution of AGRIS towards the provision of specialized selective information services.

FAO Internship Programme6

59. The Council endorsed in general the recommendations of the Programme and Finance Committees, that the programme should be geared to cater for mature and experienced trainees in future (who should be nominated through governmental channels), and that the total training period be reduced from 11 to six months, and that practical and substantive aspects of the technical training be more emphasized. The Council noted that:

(a) a follow-up and evaluation should be continued for determining the effectiveness of the training received upon return of trainees to their home countries;

(b) the trainees themselves should be requested to give their own evaluation of the training programme in terms of its usefulness to their actual work on return to their home countries; this would then serve as a feed-back to the programme's operational needs.

Future of "Review of Programmes'' Exercise7

60. The Council concurred in the recommendation of the Programme Committee that this excercise should continue on a regular and systematic basis. The programme reviews had enabled the Committee and the Council to examine the Organization's programmes in some detail, to discuss various problems of concept, planning and implementation with the Director-General and senior members of the Secretariat and to make suggestions and recommendations for the consideration of the Director-General. The Committee's reports on these reviews also had been of considerable use to member countries in keeping abreast of programme developments. The Council agreed that the continuation of the exercise would contribute toward alleviating the burden of work of the Council.

61 . The Council agreed that the form and content of future reviews should continue as in the current biennium and that the following structure and timing would be appropriate, subject to any revision which the Committee might wish to recommend:

1978 Spring Session

2.1.1 - Natural Resources
2.1.2 - Crops
2.1.3 - Livestock
2.1.4 - Research Support
2.1.5 - Rural Development

1978 Autumn Session

2.1.6 - Nutrition
2.1.7 - Food and Agricultural Information and Analysis
2.1.8 - Food and Agricultural Policy
2.2 - Fisheries
2.3 - Forestry

1980 Spring Session

3.1 - Field Programme Planning and Liaison
3.2 - Investment (World Bank, Investment Support)
3.3 - Special Programmes (FFH/AD, Fellowships, Industry Cooperative Programme)
3.4 - Country Offices
4 - Technical Cooperation Programme

1980 Autumn Session

5.1 - Information and Documentation (Public Information, Library, Documentation Systems, Publications Reserve)
1.1 - Governing Bodies (Conference and Council, Conference Services)
1.2 - Policy, Direction and Planning (Director-General's Office, Programme Planning, Budgeting and Evaluation, Audit)
1.3 - Legal
1.4 - Liaison (Inter-Agency Affairs, Liaison and Protocol)

62. The Council agreed that in addition to the above programme areas, the Committee should continue to review such matters as might be suggested by the Director-General, the Council or the Committee itself.

Review of Field Programmes, 1976-77, (Including Up-dating of Information on the TCP, and a Report on the Contribution of FAO to the TCDC) 8

63. The Council agreed with the assessment of the Programme Committee that the Review of Field Programmes 1976–77 had reached a better standard of presentation than in the previous two biennia, while continuing to provide a basis for frank and constructive discussion of the basic policy issues related to FAO's field activities. The Council noted that the Review contained a valuable analysis of key factors affecting the efficiency and effectiveness of technical assistance projects, and of other important subjects particularly training, technical cooperation amongst developing countries, the role of external assistance in promoting rural development and the flow of aid to agriculture in general. The Council expressed the wish that all these subjects receive serious and detailed attention when this document was discussed at the Conference. The Council also felt that in the matter of training, special emphasis should be given to the training of women.

64. The Council, while recalling the importance it attached to an adequate contribution by FAO to the UN Conference on Technical Cooperation among Developing Countries and related issues, noted the Secretariat statement to the effect that additional information would be submitted to the Nineteenth Session of the Conference for its consideration.

65. There was general support of the manner in which the Technical Cooperation Programme had enabled FAQ to assist the developing countries in solving critical problems directly and more expeditlously.

Medium-Term Objectives 9

66. The Council agreed with the Programme Committee that the document to be submitted to the Conference on this subject was in accordance with past recommendations of the Council and Conference. It further agreed, as it had on previous occasions, that harmonization of medium-term planning in the United Nations family of organizations was a desirable objective to the extent that it was practicable and feasible and was not pursued solely for the sake of coordination at any cost.

67. The Council noted the recommendations of the Programme Committee on combining the document with the Programme of Work and Budget but without any attempt at quantification beyond the first biennium. It was pointed out that a thorough discussion of these objectives would take place during the Conference Session.

Special Fund for the Reduction of Food Losses 10

68. The Council recalled that at its Seventy-First Session it had unanimously approved the Director-General's proposals for an Action Programme to reduce post-harvest losses of staple foods and had endorsed the proposals for implementing the Programme and the guidelines for activities in this area by member countries, by FAO and by other agencies.

69. The great majority of the Council had also agreed with the proposal for a Special Fund for Prevention of Food Losses and the proposal to transfer up to $10 million from the 1976/77 Suspense Account as an initial contribution to the Fund. These proposals were embodied in a Draft Resolution for the Nineteenth Session of the Conference. In the light of dissenting opinion, the Council deferred a decision on the Draft Resolution until the Seventy-Second Session.

70. During the current Council Session, the Director-General submitted a revised Draft Resolution for consideration and decision by the Council.

71. The Council concurred with the inclusion in the revised Draft Resolution of recognition of the principle of volontary contributions to the proposed Special Fund. Some members pointed out however that the proposed transfer of $10 million from the Suspense Account was not in accordance with Resolution 35/75, under which savings in the Suspense Account would be returned to Member Governments. They felt that this provision of Resolution 35/75 should be' implemented, while some were able at the same time to envisage contributing at least the amount due to be returned to them from the Suspense Account to the Special Fund. In certain cases, it was indicated that if the voluntary principle were maintained, a larger amount might be contributed by them. A number of members could not agree with the revised Draft Resolution submitted to the Council or reserved their position.

72. The Director-General recalled that although the Seventieth Session of the Council had authorized the preparation of a proposal for a $20 million Fund, it was not intended to limit the target of the Fund to $20 million and it was hoped that contributions in excess of this figure would be pledged. The Director-General stressed however the importance of having from the outset an amount of $10 million available in the Special Fund, in order that an early start could be made in implementing the Action Programme and that planning of the Programme could proceed on a guaranteed and orderly basis. This would be impossible if there were uncertainty as to the amount and timing of voluntary contributions. He also stressed the desirability of contributions to the Fund being pledged directly to and through FAO and for general disbursement, in order to ensure maximum flexibility and speed in Programme implementation by FAO. The great majority of the Council shared such views and therefore supported the revised Draft Resolution submitted to the Council.

73. The Council agreed to transmit to the Conference the following draft resolution 11/, in the hope that consensus would still be found on the issue.

DRAFT RESOLUTION FOR THE CONFERENCE

SPECIAL FUND FOR PREVENTION OF FOOD LOSSES

THE CONFERENCE,

Recognizing the crucial importance, for the purpose of meeting the food needs of the world, of preventing food, and particularly post-harvest, losses,

Having regard, therefore, to the particular merits for this purpose of the programme proposals put forward by the Director-General and endorsed by the Council,

Noting the recommendations made by the Committee on Agriculture (COAG) at its Fourth Session, of the Council at its Seventy-First Session, and the views of the Council at its 72nd Session,

Decides to establish a Special Fund for Prevention of Food Losses under Art. 6.7 of the Financial Regulations with a goal of at least $20 million;

Considers that in principle such a Fund should be financed from external sources, in particular by voluntary contributions from Member Nations;

Recognizes that it may, however, take some time for such contributions to bring the Fund to a sufficient level and that it is important meanwhile to begin operations on an adequate scale;

Invites Member Nations of FAO and other contributors accordingly to make contributions to the Fund;

Further decides that notwithstanding Financial Regulation 6.1(b), any balance existing in the Suspense Account established under Resolution 35/75, after transfer of $5 million to the Special Reserve Account established under Resolution .../77, be transferred in an amount of up to $10 million at the end of the 1976-77 biennium to the Fund established by this Resolution;

Authorizes the Director-General to make disbursements from the Fund for the purposes approved by the Conference or the Council in the prevention of food losses;

Requests the Director-General to submit an annual report through the Programme and Finance Committees to the Council on the operations of the Special Fund;

Decides that the balance of monies in the Special Fund shall be carried forward from year to year until the Conference decides to close the Special Fund.

Budget for the Regional Animal Production and Health Commission for Asia, the Far~East and the Southwest Pacific (APHCA) 12

74. The Council agreed that the projected additional programme requirements identified by APHCA for the biennium were necessary and that the additional costs would be met from savings

75. Subject to this, the Council agreed to the proposed budget identified by APHCA.

Other Programme, Budgetary, Financial and Administrative Matters Arising out of the Thirty-Third Session of the Programme Committee and the Fortieth Session of the Finance Committee

Financial Position of the Organization 13

(i) Status of Contributions

76. A statement of contributions outstanding at 9 November 1977 is attached as Appendix E. A summary of contributions collected to 9 November 1977, compared to 1976 is as follows;


Contributions collected 1 January - 9 November
1977Comparative figures
for 1976
$$
Amounts payable in current year75 830 22869 281 516
Arrears of Contributions5 650 419937 886
81 480 647 1470 219 402 15

14 Includes $16 779 credited to Miscellaneous Income.

15 Includes $28 318 credited to Miscellaneous Income.

77. The Council noted with satisfaction that the rate of collection of current year's assessments was considerably better to date in 1977 than in previous years, attributable primarily to the largest and some of the larger contributors having settled in full, or to a great extent, their liabilities at earlier dates.

78. Nonetheless, a large part of the membership was not meeting the provisions of Financial Regulation 5.5 which required Member Nations, in practice, to pay their contributions by mid-February each year.

79. In view of this the Council therefore considered it necessary to stress again that although the fiscal year for many Member Nations did not correspond with the calendar year used by FAO, this did not prevent those governments from anticipating the necessary budgetary provisions in order to be able to meet their obligations to the Organization when due. While such an adjustment in their appropriation pattern would represent a one-time problem for the Member Nations concerned, their failure to take such action would mean that the Organization could be faced with financial difficulties in future years.

80. The Council therefore suggested that the Conference might wish to appeal to Member Nations to make adjustments, as necessary, to their appropriation patterns so that the Organization might receive contributions when due.

81. The Council was pleased to be informed that since the Fortieth Session of the Finance Committee (26 September - 7 October 1977) the Government of Lao had paid its 1976 and 1977 assessments and as a consequence was no longer in danger of losing its vote at the Nineteenth Session of the Conference.

82. on the other hand, seven Member Nations (Central African Empire, Congo, Democratic Kampuchea, Dominican Republic, Haiti, Mauritania and Paraguay) were still in jeopardy of losing their voting rights in accordance with Article III.4 of the Constitution.

(ii) Applications for Membership

83. The Council noted that, in addition to the applications for membership submitted by Angola, Comoros, Korea (Democratic People's Republic of), Mozambique, Sao Tome & Principe, and Seychelles which had been brought to its attention at its Seventy-First Session (6-17 June 1977), an application had also been received from the Republic of Djibouti.

84. The Council noted that the theoretical UN assessment rate for Djibouti was the minimum (0.02 percent) and that the same minimum rate applied in FAO in 1977. The contribution for the last quarter of 1977 for Djibouti on admission to membership would therefore be $4 080 in accordance with established principles and practices. The advance due from it to the Working Capital Fund would be $1 300.

85. The Council further noted that an application for full membership had been received from the United Nations Council for Namibia, accepting the obligations of membership laid down in the Constitution of FAO. The application referred to operative paragraphs 3 and 4 of Resolution 31/149, adopted by the General Assembly of the United Nations on 20 December 1976, whereby the General Assembly requested all Specialized Agencies "to consider granting full membership to the United Nations Council for Namibia ... and to consider favourably granting a waiver of the assessment of Namibia during the period in which Namibia is represented by the United Nations Council for Namibia". The Council noted the observation by the Finance Committee that under Article II, para. 2 of the Constitution, the admission of additional members of the Organization is a matter for the Conference to decide. The Finance Committee had also observed that Article XVIII, para. 2 provides that each Member Nation undertakes to contribute to the Organization its share of the budget as apportioned by the Conference, and that, in accordance with paragraph 3 of the same Article, the Conference determines the proportion of the budget for the current financial period that a Member Nation shall pay as its first contribution.

Audited Accounts 16

(i) United Nations Development Programme 1976

86. The Council reviewed the above accounts and noted that the problems which had been pointed out in the External Auditor's Report had arisen as a result of the UNDP financial crisis and that they had now been largely overcome.

87. The Council endorsed the External Auditor's recommendation that all possible steps be taken to ensure that field projects are based on realistic assessments of what is possible in the light of existing constraints.

(ii) World Food Programme 1976

88. The Council reviewed the above accounts and noted that the Finance Committee had reported separately to the CFA on operational matters referred to in the External Auditor's Report.

(iii) Submission of Audited Accounts to the Conference

89. The Council forwarded the above audited accounts together with those reviewed by it at its Seventieth Session to the Conference in accordance with the provisions of Rule XXIV –3(b) GRO and recommended the following draft resolution for adoption by the Conference.

DRAFT RESOLUTION FOR THE CONFERENCE

AUDITED ACCOUNTS

THE CONFERENCE,

Having considered the reports of the Seventieth and Seventy-Second Sessions of the Council:

Having examined the following audited accounts and the External Auditor's Reports thereon:

Regular Programme1974–75C 77/5
United Nations Development
Programme 1975 and 1976C 77/6; C 77/9
World Food Programme 1975 and 1976C 77/7; C 77/8

Adopts the above audited accounts,

(iv) Regular Programme - Interim Accounts for 1976

90. The Council took note of the comments of the Finance Committee on the Audited Accounts for the Regular Programme for 1976 and concurred that financial control should be improved. It noted in this respect the measures the Director-General had taken with regard to the procurement of supplies and services and strongly endorsed the recommendation of the Finance Committee that the principles of competition should be respected and that contracts and purchases without competition should be kept to the unavoidable minimum.

91. The Council noted the present policy of the Secretariat on the application of management advice on productivity improvement and use of secretarial services. With regard to productivity improvement, the Council concurred that a balance should be maintained among the various units in the Organization by shifting resources to those areas where pressure of work was high. To this end it concurred that a workload assessment should be undertaken throughout the Organization and that formal procedures should be established to ensure that management consultant advice was properly acted upon and that those recommendations that are accepted are promptly implemented.

Amendments to the Financial Regulations 17

92. At its Sixty-Ninth Session the Council had approved the Director-General's proposal for a Technical Cooperation Programme to enable the Organization to give quick and flexible attention to immediate and short-term needs of Member Nations. It had agreed that there was a need to provide for carry-over of uncommitted funds under the Technical Cooperation Programme, to give effect to the principle that full funding of approved projects should be a normal feature of the programme.

93. At its Seventieth Session the Council took note of the evolution which was taking place in development assistance and which had caused a gradual shift in responsibilities from internationally recruited experts to national personnel, and agreed that this shift makes it necessary for the Director-General to delegate from time to time disbursement authority to persons who are not FAO staff members.

94. The Council accordingly transmitted to the Conference for adoption the following Draft Resolution which covers amendments to the Financial Regulations required in order to provide the statutory basis for the above:

DRAFT RESOLUTION FOR THE CONFERENCE

AMENDMENTS TO THE FINANCIAL REGULATIONS

THE CONFERENCE,

Noting the need to provide for carry-over of uncommitted funds under the Technical Cooperation Programme, to give effect to the principle that full funding of approved projects should be a normal feature of the programme,

Noting also that the evolution which has taken place in development assistance has caused a gradual shift in responsibilities from internationally recruited experts to national personnel and makes it necessary for the Director-General to delegate from time to time disbursement authority to persons who are not FAO staff members,

Noting the reports of the Sixty-Ninth and the Seventieth Sessions of the Council,

Decides that the Financial Regulations be amended as follows (deletions in square brackets [ ], additions underlined) 18

4.2 Except as provided for in Financial Regulation 4,3 relating to the Technical Cooperation Programme [A] appropriations shall be available for obligations during the financial period to which they relate [.] and [U] unobligated appropriations at the close of the financial period shall be cancelled.

4.3 Appropriations voted by the Conference for the Technical Cooperation Programme together with any funds transferred to the Technical Cooperation Programme under Financial Regulation 4.5 (b) shall remain available for obligations during the financial period following that during which the funds were voted or transferred. Appropriations unutilized at the close of the financial period following that during which the funds were voted or transferred shall be cancelled.

10.1 The Director-General shall:

(c) Designate the officers, and other persons as appropriate, who may receive monies, incur commitments or obligations and make payments on behalf of the Organization.

95. Arising out of the Council's examination of the above amendments to the Financial Regulations, one member noted that the Regulations required a general review to reflect the need for a flexible action-oriented approach and suggested that the Finance Committee undertake a review with the above aim in mind.

Programme and Budgetary Adjustments in 1977

96. The Council agreed to the transfer from Chapter III to Chapter II in 1977 of $191 000 for the World Conference on Agrarian Reform and Rural Development.

Emoluments of the Director-General 19

97. The Council noted that the Finance Committee had considered that the emoluments of the Director-General should be brought in line with those of Executive Heads of other agencies, and had recommended a draft resolution for adoption by the Conference.

98. The Council noted, however, that the Director-General's representation allowance would also require adjustment to bring it in line with Executive Heads ofother agencies, and it agreed on such action.

99. The Council accordingly recommended the following draft resolution, which would replace that recommended in the report of its Seventy-First Session, for adoption by the Conference:

DRAFT RESOLUTION FOR THE CONFERENCE

 EMOLUMENTS OF THE DIRECTOR-GENERAL

THE CONFERENCE,

Recalling that it had fixed the salary and allowances of theDirector-General at its Eighteenth Session in accordance withoperative paragraphs 2 and 3 of Resolution 40/75,

Noting that the General Assembly of the United Nations, at its Thirty-First Session, approved certain recommendations of the International Civil ServiceCommission affecting the salaries and allowances of staff in theProfessional and higher categories,

Noting further that the Council,at its Seventieth Session, authorized the Director-General to amend the FAO Staff Regulations to give effect to the recommendation of the International Civil Service Commission, in the form in which they had been approved by the General Assembly of the United Nations and with the same effective date, and that this effective date was 1 January 1977,

Considering that the changes in entitlements of staff in the Professional and highercategories which were introduced in FAO with effect from 1 January 1977 should be applied retroactively to the Director-General,

Considering also that the representation allowance of the Director-General which was established on 1 January 1976 at US $15 000, in FAO as at 1 January 1977 stands at US $22 500 in the United Nations and US $20 000 in ILO and Unesco,

Decides that:

1. The annual salary of the Director-General be retroactively adjusted from 1 January 1977 to the following amounts: gross salary US $99 350; net salary US $53 200 at the dependency rate, or US $48 080 at the single rate; post adjustment for one class US $2 200 at the dependency rate, or US $1 988 at the single rate;

2.The system of allowances and benefits applicable to the Director-General be amended from 1 January 1977 in the same way as that of staff in the Professional and higher categories;

3. The representation allowance of the Director-General be increased to US $20 000 effective 1 January 1977.

Progress Report on FAO Premises 20

100. The Council noted the Finance Committee's progress report on the FAO premises. It concurred with the Finance Committee's view that any increases in rents now being paid for buildings F and G should be opposed if such increases could be avoided within existing Italian legislation.


1 C 77/3; C 77/3–Corr.1; C 77/3–Corr.2 (Spanish only); C 77/3–Corr. 3 (French only): C 77/27; CL 72/4; C 77/INF/17; CL 72/PV/1; CL 72/PV/2; CL 72/PV/3; CL 72/PV/7.

2 The remaining $100 000 being absorbed within the $ 800 000 noted below.

3 Calculated at Lire 879 = US$1.

4 CL 72/4; C 77/3; C 77/27; CL 72/PV/2; CL 72/PV/3; CL 72/PV/7.

5 Document Unesco SC/77/WS/20.

6 CL 72/PV/3; CL 72/PV/7.

7 G 77/4; CL 72/PV/3; CL 72/PV/7.

8 CL 72/4 paras 2.129–2.134 and 3.115; C 77/4; C 77/4-Corr.1; CL 72/PV/4; CL 72/PV/7.

9 CL 72/4; C 77/23; CL 727PV/4; CL 72/py/7.

10 CL 71/REP, paras 79–85; CL 71/4, Appendix F; C 77/19; C 77/INF/18; CL 72/PV/3; CL 72/PV/4; CL 72/PV/7.

11 Incorporating certain amendments, agreed during Council discussion.

12 CL 72/PV/4; CL 72/PV/7.

13 CL 72/4 paras 3.35-3.44; CL 72/LIM/1; CL 72/PV/5; CL 72/PV/7.

16 CL 72/4, paras 3,57-3,92; CL 72/PV/5; CL 72/PV/7.

17 CL 72/13; CL 72/13–Corr.1; CL 69/REP, para. 54$ CL 70/REP, paras 170-172; CL 72/PV/5; CL 72/PV/7.

18 The present Financial Regulations 4.3, 4.4 and 4.5 are to be re-numbered 4.4, 4.5 and 4.6 respectively.

19 CL 72/4, paras 3.135-3. 138; CL 71/REP, para. 196; CL 72/PV/5 ;CL 72/PV/7.

20CL 72/4; CL72/PV/5; CL72/PV/7.

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