111. Following introductory statements by the Director-General and the Chairman of the Program and Finance Committees, the Council considered the general aspects of the Program of Work and Budget as presented in document C 65/3. It expressed its appreciation for the clear presentation of the Program of Work by the Director-General in this document, and for the work carried out by the two Committees.
112. The Council was in general agreement with the views of these Committees that the program was on the whole a very good one, giving evidence of careful selection and some vigorous pruning. It was well-balanced and the principal items had been well selected in terms of the priorities imposed by the existing world situation.
113. The total increase proposed by the Director-General would amount to $8,921,300, of which $4, 732,250 was classified as mandatory and $4,189,050 represented an expansion in the program of activities. The expansion in activities amounted to approximately 11 percent, and the mandatory elements to approximately 12 percent, giving a total increase of 23 percent.
114. In paragraphs 248–256 of Document CL 44/3 the Finance Committee reported, as requested by the Council at its Forty-Third Session, on the detailed examination which it had made of the mandatory increases included by the Director-General in the Program of Work and Budget for 1966–67. The Council noted that the Committee was in general satisfied as to the method used in calculating these increases and (apart from an item of $151,500 included in Chapter XI Reserve to Cover Possible Future Mandatory Increases, representing increases of salaries of posts which were as yet subject to approval by the Conference) did not find any basis for amendment of the estimates.
115. The Council noted that the Finance Committee had requested that:
Computations of mandatory increases be test-checked by the Internal Auditor;
The Organization maintain a record of all changes in cost of existing posts in order to have information available in future biennia.
116. The Council recognized that the mandatory increases, arising for the most part out of rising cost of living in Rome, imposed a heavy charge on Member Governments, but also recognized that in the circumstances they were inescapable. In this connection the Council also took note of the report of the Director-General (CL 44/24 - Add.1) on the results of the recent session of ICSAB, which was asked to review the salary scale for Professional staff officers and above. The ICSAB was recommending an adjustment of this salary scale which, if adopted by the General Assembly of the United Nations, would require supplementary estimates to be placed before the Thirteenth Session of the Conference by the Director-General, as the Finance Committee has pointed out in its report (CL 44/3, para.258).
117. The Council recognized the importance of the five main themes on which the Director-General's Program of Work and Budget was based, including in particular the work on the Indicative World Plan for Agricultural Development, which the Council had earlier discussed at some length (see paras. 28–33), and the continuation of the FFHC and the inclusion of its central campaign costs in the Regular Budget.
118. In view of the limited time available for discussion, the Council could not go into the details of the Director-General's proposals. However, a number of delegations made comments regarding specific program proposals. Apart from the matters dealt with elsewhere in this Report, the following subjects were mentioned: regional structure, animal production and health, agricultural education and extension, the participation of consultants at regional conferences, the proposed FFHC regional liaison officers (see paras. 13–14 and 165–168 of the Report of the Program and Finance Committees), the increase in administrative personnel, and possible duplication of competencies among the proposed divisions and branches dealing with fisheries.
119. In the course of its review of the Draft Program of Work and Budget for 1966–67, the Council also noted two further points on which recommendations had been made by the Finance Committee at its Thirteenth Session (Document CL 44/3 - Section III refers):
Para. 270 - Publications Revolving Fund (Annex XII of Document C 65/3 - Decrease in amount budgeted for sales promotion under this Fund, by $10,000 (from $50,000 to $40,000).
Para. 271 - Miscellaneous Income - Chapter XII of Document C 65/3 - Increase in budgeted estimate, by $140,000 (from $860,000 to $1,000,000).
120. The Council noted the Director-General's recommendations and the relevant comments of the Program and Finance Committees with regard to the publication of an FAO magazine. It decided to draw the attention of the Conference to the fact that if publication of the magazine won Conference approval, a resolution along the general lines of the draft contained in paragraph 276 of the Report of the Thirteenth Session of the Finance Committee would be required.
121. The majority of Council Members indicated that they supported the general program and the level of the budget recommended by the Director-General, while noting that the details of the program would need to be subject to more careful review by the Technical Committees of the Conference and Commission II. Certains delegations (Argentina, Canada, France, Japan, Poland) stated that they were not in a position to support at the present session of the Council the proposed level of the Budget for 1966–67. At the end of the debate the Council adopted the following resolution:
Resolution No. 2/44
DRAFT PROGRAM OF WORK AND BUDGET 1966–67
Aware of its responsibility to make recommendations to the Conference on policy issues regarding the Draft Program of Work and Budget submitted by the Director-General for the following financial period,
Aware also of the great effort that will be necessary if the peoples of the world are to be adequately fed, and of the important role of FAO in this effort,
Recognizing the need for maintaing a reasonable balance between the funds Member Countries must devote to their national programs and those they allocate for work through international organizations,
Recommends to the Conference that the level of the Budget for 1966–67 should be $47,715,000, as proposed by the Director-General in his Draft Program of Work and Budget plus an amount necessary to meet the increase in professional salary levels that may be voted by the UN General Assembly in 1965, estimated to be approximately $1,740,000, which increase would be applicable in FAO because of its adherence to the common salary system in the United Nations family; and that therefore any changes in the Draft Program of Work should be accommodated within this level.
122. The Council took note of the Third Annual Report of the UN/FAO Intergovernmental Committee of the World Food Program to the Economic and Social Council of the United Nations and to the Council of FAO (document CL 44/17). This report covered the period between 1 July 1964 and 14 April 1965. By the latter date, contributions to the Program totaled $93.7 million. A cumulative total of 21 emergency operations had been undertaken, and 104 projects for economic and social development had been approved. The Intergovernmental Committee had been informed that a number of preliminary appraisals of WFP projects had been made, and had yielded useful data on the problems that were being encountered and the successes that were being achieved. The Council noted that since the IGC's report was prepared, three more emergency operations had been authorized by the Director-General of FAO, and three development projects had been approved by the Executive Director of the Program.
123. The Council considered the recommendations of the IGC concerning the future of the Program (document CL 44/18). Their importance was emphasized in statements by the Director-General, the representative of the Secretary-General of the United Nations, the Chairman of the WFP Intergovernmental Committee and the Executive Director of the Program. The Committee's recommendations were strongly supported by the Members of the Council, who expressed keen interest in the growing role which the WFP could play in furthering the objectives of FAO and in assisting the overall development effort of the United Nations system of organizations. Particular emphasis was placed on the use of food aid to stimulate agricultural production in the developing countries. The Council endorsed the recommendations of the Intergovernmental Committee and transmitted them to the Conference, subject to the addition at the end of paragraph 3(b), listing the objectives of the Program, of the phrase “increasing agricultural productivity,” (after “school feeding,”).
124. The Council unanimously adopted the draft resolution submitted by the IGC as an annex to its report. This resolution, which would also come before the Economic and Social Council, transmitted a further draft resolution for consideration by the Conference and the United Nations General Assembly. In the text prepared by the IGC for the Conference and the Assembly, there were blanks in operative paragraph 2, relating to the target for voluntary contributions for the period 1966 through 1968 and the proportion which should be in the form of cash and services, and in paragraph 5 relating to the term of office of IGC members. In the Council's discussion of the target, there was widespread support for the figure of $275 million advanced in paragraph 9 of the IGC's report. It was recognized, however, that the resources actually made available to the Program would to a very considerable extent depend on a relatively small number of developed countries, some of which announced in the Council their acceptance of this target. The target figure was left open on the understanding that the question would be taken up again at the Forty-Fifth Session of the Council, to be held in November 1965 immediately preceding the Conference. A similar decision was taken in respect of the proportion of contributions to be in cash and services; while the Executive Director's proposal for 33 percent was generally acceptable, the blank in the draft resolution for the Conference would be filled in only at the Council's Forty-Fifth Session. Some delegates felt, however, that the cash proportion should be higher, and that the percentage should be examined again when the report by the consultant was available. During the discussion, a number of Members confirmed their intention of contributing to the Program for the 1966/68 pledging period; some of them indicated the level at which they expected to contribute. The United States delegation announced that it was ready to support a world target of $275 million with a cash and services proportion of that total amounting to 33 percent; and further announced that, while the multilateral nature of the program continued to indicate that the United States contribution - in cash, shipping and services, as well as in commodities - should be 40 percent of the world total, the United States would now be ready to contribute commodities on a 50 percent matching basis, rather than the 40 percent indicated during the Seventh Session of the Intergovernmental Committee.
125. The Council also decided to leave open until its next session the question of the term of office of IGC members. This would allow the IGC to put forward a specific recommendation at its Eighth Session in October 1965 based on the study it had requested from the Working Party set up to review the WFP General Regulations, Provisional Financial Procedures and the IGC's Rules of Procedure. The decision taken by the Conference would then be brought to the attention of the United Nations General Assembly; in view of the timing involved, the Economic and Social Council might well be unable to transmit the IGC's recommendation directly to the General Assembly.
126. The Council adopted the following resolution:
Resolution No. 3/44
CONTINUATION OF THE WORLD FOOD PROGRAM
Having considered the report of the Intergovernmental Committee on the future of the World Food Program (document CL 44/18), and
Having further studied the report of the Secretary General and the Director-General on the future development of the Program (document C 65/10) and the report of the Executive Director of the World Food Program (document C 65/10 Appendix),
Submits for the consideration and approval of the Conference the annexed draft resolution;
Appeals to Members of the United Nations and of the Food and Agriculture Organization to give urgent consideration to the possibility of announcing contributions at the Pledging Conference to be convened by the Secretary General in co-operation with the Director-General, if the General Assembly and the FAO Conference decide on the continuation of the Program.
ANNEX: DRAFT RESOLUTION FOR THE CONFERENCE
Continuation of the World Food Program
Conscious of the vast and growing needs of the peoples of the developing countries, of the pressing requirement for assistance in their economic and social development, and of the sufferings caused by hunger and malnutrition,
Recalling General Assembly Resolutions 1496 (XV) of 27 October 1960 and 1714 (XVI) of 19 December 1961 and FAO Conference Resolution 1/61 of 24 November 1961 concerning the establishment of an experimental World Food Program,
Having considered the report of the Intergovernmental Committee on the future of the World Food Program as transmitted by the Council,
Having studied the report of the Secretary General of the United Nations and the Director-General of the Food and Agriculture Organization of the future development of the Program (document C 65/10) as well as the report of the Executive Director of the World Food Program (document C 65/10 Appendix),
Having considered the results obtained by the Program during its initial phase and the contribution which it is making toward achieving the goals of the United Nations Development Decade and of the FAO Freedom from Hunger Campaign,
Taking note with satisfaction of the contributions of foodstuffs, money and services already made by Member States of the United Nations and Member Nations and Associate Members of FAO, as well as the co-operation of recipient countries in the elaboration and implementation of development projects, in which for the first time food aid is being utilized for development in a multilateral framework,
Recognizing the potentialities of this Program, in which the United Nations and FAO have co-operated through the joint UN/FAO Administrative Unit,
Appreciating the co-operation and assistance extended to the Program by the interested Specialized Agencies and operating programs of the United Nations, and by a number of other intergovernmental and nongovernmental organizations, and
Having considered Resolution . . . . . . . . . . (XXXIX) of the Economic and Social Council 1 and Resolution 3/44 of the FAO Council,
Decides to extend the UN/FAO World Food Program, established in virtue of General Assembly Resolution 1714 (XVI) and FAO Conference Resolution 1/61, on a continuing basis for as long as multilateral food aid is found feasible and desirable, on the understanding that the Program will be regularly reviewed before each pledging conference and that if circumstances so require it may be enlarged, curtailed or terminated at the end of any period for which resources have been pledged;
Establishes for the three years 1966, 1967 and 1968 a target for voluntary contributions of $ . . . . . . 2, of which not less than . . . . . . 2 percent should be in cash and services, and urges Member States of the United Nations and Member Nations and Associate Members of the Food and Agriculture Organization to make every effort to ensure the early attainment of the target;
Requests the Secretary-General in co-operation with the Director-General of FAO to convene a pledging conference at United Nations Headquarters as soon as feasible;
Decides that the next following pledging conference, subject to the review provided for in paragraph 1 above, should be convened in 1967, at which time governments would be invited to pledge contributions for 1969 and 1970, with a view to reaching such target as may be recommended by the General Assembly and the FAO Conference;
Requests the Economic and Social Council and the FAO Council at their first sessions after the adoption of this resolution by the General Assembly and the FAO Conference respectively to elect to the UN/FAO Intergovernmental Committee of the World Food Program twelve members each for terms of . . . . . . 2 years and to proceed to similar elections every . . . . . . 2 years thereafter;
Requests the Intergovernmental Committee to review the General Regulations of the Program in the light of the present resolution and calls upon the Economic and Social Council and the FAO Council to take appropriate action thereon.
1 Resolution number to be added when action has been taken by the Economic and Social Council.
2 These figures will be inserted by the Council at its Forty-Fifth Session (November 1965).
127. At its Forty-Third Session the Council requested the Director-General to invite the views of Member and Associate Member Governments on the Council's considerations regarding the utility and timing of the Technical Committees of the Conference. An analysis of these views was to be submitted to the Program Committee at its Ninth Session to enable it to report to the Forty-Fourth Session of the Council on the issues which the Conference should consider in determining the arrangements to make for the Technical Committees in future biennia. In accordance with the Council's request a summary of the comments received from Member Governments was presented to the Program Committee which requested the Director-General to transmit this summary, brought up to date with any further replies received from Member and Associate Member Governments, to the Forty-Fourth Session of the Council (Report of Ninth Session of the Program Committee - CL 44/3, para. 217).
128. On 23 February 1965 the Director-General addressed a communication on the subject of Technical Committees to Member and Associate Member Governments (G/329). By the time of the Forty-Fourth Session of the Council, 54 replies had been received from the following Governments:
Syrian Arab Republic
United States of America
129. The Council considered the question of the Technical Committees in the light of the replies received. The Council noted that the great majority of these replies stressed the usefulness of the Technical Committees and expressed the view that they should be continued. However, some Council Members felt that the Technical Committees did not serve any useful purpose and proposed that they be abolished.
130. With regard to the timing of the Technical Committee meetings, it was noted that most of the replies favored convening the Technical Committees in the period immediately preceding the Conference Session.
131. It was pointed out that the procedure adopted at this session of the Council, whereby the Council recommended to the Conference the level of the Budget for the ensuing biennium, and at the same time requested that any changes in the Draft Program of Work be accommodated within that level, would facilitate the discussion by the Technical Committees of the Draft Program for the ensuing biennium and would help to eliminate the feeling of frustation of which delegates attending the Technical Committees had complained in the past.
132. The Council stressed that the Technical Committees should give adequate attention not only to paragraph (c) but also to each of the paragraphs (a), (b) and (d) of their terms of reference. 1
133. The Council agreed that the reporting procedures of the Technical Committees should be further simplified and that the Rapporteur should take an active part in the drafting and adoption of these reports by the respective Committees.
134. The Council reminded the Technical Committees and the Rapporteur that they should follow the procedures for reporting as set out in the report of the Thirty-Ninth Session of the Council, paragraphs 194 through 201, and Resolution 33/63 of the Twelfth Session of the Conference.
135. It was also agreed that the reports of the Technical Committees should be presented to Commission II by the Rapporteur on the Technical Committees and not by the chairmen of those committees. However, it was considered desirable that the Technical Committee chairmen should be present at the discussion of their reports so as to be able to give supplementary explanations if required.
136. With the view to improving further the procedures whereby the Conference received technical advice from the Technical Committees, the Council decided:
to place the question of the Technical Committees of the Conference on the Agenda of the Thirteenth Session of the Conference,
to draw to the attention of the Conference to the views contained in this Report, and
to re-examine, in the light of any comments made by the Conference on the functioning of the Technical Committees at its Thirteenth Session, the question of the Technical Committees at the Council Session in 1966.
137. The representative of Finland had drawn the attention of the Forty-Third Session of the Council to the problem which had arisen as the result of the untimely decease of the Independent Chairman of the Council, namely that there was no provision for a successor to exercise his functions prior to the election of a new Independent Chairman of the Council by the following session of the Conference. The Forty-Third Session of the Council referred this matter to the Committee on Constitutional and Legal Matters (CCLM), whose report was before the Forty-Fourth Session of the Council (CL 44/4).
138. The Council, having considered the various possible solutions set out in the report of the Twelfth Session of the CCLM, decided to endorse the suggestions of the CCLM contained in paragraph 19 of its Report. The Council accordingly adopted the following resolution:
1 The terms of reference of the Technical Committees are:
(a) review the activities of the biennium coming to an end relating to the Regular, Technical Assistance and other programs;
(b) consider from a technical standpoint the different chapters of the draft Program of Work for the ensuing biennium;
(c) consider the trends of the Program of Work beyond the ensuing biennium;
(d) study such items as may be specifically referred to it by the Council.
Resolution No. 4/44
APPOINTMENT AND FUNCTIONS OF VICE-CHAIRMEN OF THE COUNCIL
Considering that if the Independent Chairman of the Council is prevented from exercising his functions for the remainder of his term of office the Constitution and General Rules of the Organization make no provision for a successor to assume his functions until the election of a new Independent Chairman by the following session of the Conference,
Considering it desirable for such provision to be made,
Recommends to the Conference the adoption of the following amendments to the General Rules of the Organization:
Add new paragraphs 3 and 4 as follows:
3. If the Independent Chairman of the Council is prevented from exercising his functions for the remainder of his term of office due to resignation, disability, death or for any other reasons, his functions shall ipso facto be assumed by the Chairman of the Program Committee for the remainder of the term of office. The Director-General shall forthwith notify all Member Nations and Associate Members and the Chairman of the Program Committee thereof.
4. The Chairman of the Program Committee shall receive on a pro rata basis for such period as he may be called upon to act as Chairman of the Council, such emoluments as were approved by the Conference when determining the conditions of appointment of the Chairman of the Council whom he succeeds.
139. The Council noted that should the Conference adopt the amendments to the General Rules of the Organization referred to above, the Rules of Procedure of the Council should be amended as follows:
Rule 1.2 (add the words underlined)
2. The Chairman or, in the event of his absence and subject to the provisions of Rule XXIII, 3 of the General Rules of the Organization, one of the Vice-Chairmen shall preside at meetings of the Council and exercise such other functions as are attributed to the Chairman by the General Rules of the Organization.
Between paragraphs 2 and 3 add a new paragraph 3 as follows, renumbering present paragraph 3 as paragraph 4.
3. When in accordance with the provisions of Rule XXIII, 3 of the General Rules of the Organization the Chairman of the Program Committee acts as Chairman of the Council he shall, when presenting the Report of the Program Committee to the Council, invite one of the Vice-Chairmen of the Council to take the chair.
140. Amendment to the terms of reference of the FAO Technical Advisory Committee on Desert Locust Control and FAO Desert Locust Control Committee. In accordance with paragraph 96 of the Plan of Operation of the Special Fund Desert Locust Project which is due to end on 1 July 1966, consideration was given by the governments concerned and FAO as Executing Agency to the most appropriate measures for pursuing certain aspects of the Project after its conclusion.
141. Pursuant to the recommendations of the FAO Technical Advisory Committee on Desert Locust Control and the Desert Locust Control Committee, the Director-General decided to create a Trust Fund to ensure that certain activities begun or strengthened during the operation of the Special Fund Desert Locust Project would be continued at an international level after its conclusion.
142. When recommending the establishment of the Trust Fund, the FAO Desert Locust Control Committee suggested criteria and guiding principles relating to the purposes and operation of the Trust Fund, under which certain advisory functions concerning the Trust Fund would be assumed by the FAO Desert Locust Control Committee and the FAO Technical Advisory Committee on Desert Locust Control. The Director-General likewise considering it desirable for the latter Committees to assume these advisory functions, and noting that in order to do so it would be necessary to amend the terms of reference of these two Committees, accordingly submitted to the Council draft amendments to their terms of reference.
143. It was pointed out to the Council, in connection with the financial administration of the Trust Fund, that the FAO Desert Locust Control Committee had proposed that the 12 percent charge which FAO normally makes for administering Trust Funds should be waived, but that the Director-General, on the other hand, felt that this charge should be made since the Trust Fund would entail continuing technical supervision and administrative services. Some Members expressed their opposition to the 12 percent change being debited to the Trust Fund, and agreed with the views of the Desert Locust Control Committee on this point.
144. On the question of the amendment to the terms of reference of these Committees, the Council gave its approval to the proposal submitted to it by the Director-General, and adopted the following resolution:
Resolution No. 5/44
AMENDMENT TO THE TERMS OF REFERENCE OF THE FAO DESERT LOCUST CONTROL COMMITTEE AND OF THE FAO TECHNICAL ADVISORY COMMITTEE ON DESERT LOCUST CONTROL
Recognizing the desirability of continuing certain activities begun or strengthened under the United Nations Special Fund Desert Locust Project after the conclusion of the Project in July 1966,
Noting with satisfaction that to continue such activities, the Director-General has, on the recommendation of the FAO Desert Locust Control Committee, invited the participation of interested governments in a Trust Fund to be set up for an initial period of five years,
Noting that the purposes of the Trust Fund are primarily to provide financial support for the following:
contributing toward the maintenance of the Desert Locust Information Service, possibly as now established;
convening high level international training courses and awarding some fellowships and exchange visits, and assisting regional organizations to organize small localized training courses;
convening meetings of expert panels and arranging advisory visits whenever considered necessary;
assisting in the co-ordination of regional control activities by obtaining appropriate information concerning the desert locust situation, and disseminating this to organizations concerned;
collecting, exchanging and disseminating technical material, reports, publications, etc.; and
providing a reserve fund to assist member countries or regional organizations to meet exceptional or emergency control expenditure.
Considering that it would be desirable for certain advisory functions connected with the operation of the Trust Fund to be assumed by the FAO Desert Locust Control Committee and the FAO Technical Advisory Committee for Desert Locust Control,
Decides to amend the terms of reference of the FAO Desert Locust Control Committee and the FAO Technical Advisory Committee on Desert Locust Control so that they read respectively as follows:
FAO Desert Locust Control Committee
keeping the desert locust situation under review;
co-ordinating the desert locust control campaign in the Arabian Peninsula;
co-ordinating desert locust control campaigns in other portions of the desert locust area, when such additional co-ordinating activities are considered desirable by the Committee;
promoting the co-ordination of national and international policies toward preventative measures of desert locust control; and
giving general policy guidance to the Director-General regarding the programs financed under the Trust Fund set up to ensure that as from the conclusion of the United Nations Special Fund Desert Locust Project on 1 July 1966, certain activities begun or strengthened during the period of United Nations Special Fund support may be continued at an international level; and reviewing the annual budget and financial reports of the Trust Fund.
FAO Technical Advisory Committee on Desert Locust Control
providing the Director-General with technical and scientific advice on the desert locust situation and on the measures required to keep it under control;
providing the Director-General with technical advice on, and reviewing the progress of, work financed under the Trust Fund set up to ensure that as from the conclusion of the United Nations Special Fund Desert Locust Project on 1 July 1966, certain activities begun or strengthened during the period of United Nations Special Fund support may be continued at an international level.
145. The Council felt that the present membership of the Committee on Commodity Problems did not allow for participation by African Member Nations on a scale commensurate with their representation in the Organization and the role they played in world production of and trade in agricultural commodities. The matters discussed in the CCP were of great interest for these countries since in most of them agricultural production and exports formed the largest sector of economic activity. The Council, therefore, unanimously agreed to recommend that the Conference, at its Thirteenth Session, should increase the membership of the Committee from the present 24 to 30, and decided to submit the following draft resolution for consideration by the Conference:
DRAFT RESOLUTION FOR THE CONFERENCE
Membership of the Committee on Commodity Problems
Noting paragraph 145 of the Report of the Forty-Fourth Session of the Council,
Acting in accordance with the provisions of Rule XXXVIII of the General Rules of the Organization,
Decides to increase the membership of the Committee on Commodity Problems to 30 members, and
Amends accordingly the first sentence of paragraph 1 of Rule XXIX of the General Rules of the Organization, to read as follows:
“The Committee … shall be composed of 30 Member Nations…”;
Recommends that the Council, in electing the Committee, should take into account the increase in number of Member Nations from the African Region and their interest in world agricultural production and trade.
146. Considering Resolution No. 9/61 of the Eleventh Session of the Conference, and pursuant to recommendations of the FAO Technical Advisory Committee on Desert Locust Control, the FAO Desert Locust Control Committee and the FAO Arabian Peninsular Desert Locust Control Sub-Committee, the Director-General convened a conference in Beirut from 15 to 18 March 1965 to consider a Draft Agreement for the establishment, within the framework of FAO, under Article XIV of the Constitution, of a Commission for Controlling the Desert Locust in the Near East.
147. The conference held in Beirut approved the text of the draft Agreement (given in document CL 44/20), which was then referred by the Director-General to the Committee on Constitutional and Legal Matters (CCLM). The CCLM recommended some minor amendments which appear in document CL 44/20-Sup.1.
148. The Council, in accordance with Article XIV, para.2, of the Constitution, approved the text of the Draft Agreement given in document CL 44/20, as amended in document CL 44/20 - Sup.1, and adopted the following Resolution:
Resolution No. 6/44
AGREEMENT FOR THE ESTABLISHMENT OF A COMMISSION FOR CONTROLLING THE DESERT LOCUST IN THE NEAR EAST
Considering Resolution No. 9/61 of the Eleventh Session of the Conference and the recommendations of the FAO Technical Advisory Committee on Desert Locust Control, the FAO Desert Locust Control Committee and the FAO Arabian Peninsular Desert Locust Control Sub-Committee regarding the desirability of establishing a regional Commission for the Control of the Desert Locust within the framework of FAO for the Near East Region,
Having examined the draft Agreement for the establishment of such a Commission which was considered by the Member Nations concerned at the conference held at Beirut from 15 to 18 March 1965,
Having considered the Report of the 13th Session of the Committee on Constitutional and Legal Matters on the draft Agreement for the establishment of such a Commission,
Approves, for submission to Member Nations with a view to their acceptance, in conformity with the provisions of the Constitution of the Organization, the text of an Agreement for the establishment, within the framework of FAO, under Article XIV of the Constitution of the Organization, of a Commission for Controlling the Desert Locust in the Near East, which text appears as Appendix E to this Report.
149. The Desert Locust Control Organization for Eastern Africa (DLCO-EA) was created outside the framework of FAO by a Convention concluded in 1962. Shortly afterwards the members of DLCO-EA expressed the wish that DLCO-EA be set up within the framework of FAO. With the concurrence of the Twelfth Session of the Conference, the Director-General prepared a draft Agreement for the establishment of DLCO-EA within the framework of FAO under Article XV of the FAO Constitution.
150. The Conference, acting under the provisions of Article XV.3 of the Constitution, delegated to the FAO Council power to approve such an Agreement, and at the same time authorized the Director-General to sign the Agreement if it were approved by the FAO Council.
151. The Council of DLCO-EA considered the draft Agreement at its Fourth and Fifth Regular Sessions (4–5 May 1964 and 30–31 July 1964 respectively), and amended a number of provisions contained therein, including important provisions relating to the control to be exercised by FAO, such as approval by the Director-General of FAO of the program of work and budget, and of the appointment of the Director of DLCO-EA.
152. The Forty-Third Session of the FAO Council (October 1964) decided not to approve the draft Agreement in the form adopted by the Council of DLCO-EA at its Fourth and Fifth Regular Sessions, on the understanding that the matter would be referred back to the Council of DLCO-EA with a view to reaching agreement on provisions which would ensure adequate control by FAO.
153. The Sixth Regular Session of the Council of DLCO-EA (24–25 February 1965) decided to accept the provisions originally proposed by the Director-General whereby the program of work and budget and the appointment of the Director of DLCO-EA would be subject to the approval of the Director-General of FAO, and the draft Agreement thus amended was re-submitted to the Council. The Council, acting under the authority delegated to it by the Conference, and in accordance with Article XV, para.3, of the Constitution approved the draft Agreement, and adopted the following resolution:
Resolution No. 7/44
ESTABLISHMENT OF THE DESERT LOCUST CONTROL ORGANIZATION FOR EASTERN AFRICA WITHIN THE FRAMEWORK OF FAO
Considering the request of the Council of the Desert Locust Control Organization for Eastern Africa (DLCO-EA) that DLCO-EA be brought within the framework of FAO by an Agreement under Article XV of the FAO Constitution,
Considering that the Twelfth Session of the Conference delegated to the FAO Council power to approve such an Agreement and authorized the Director-General to sign the Agreement if it were approved by the FAO Council,
Noting that the Council of DLCO-EA approved at its Sixth Regular Session the text of the draft Agreement as submitted to the FAO Council in document CL 44/13;
Approves the draft Agreement under Article XV of the Constitution, the text of which is given as Appendix F to this Report,
Authorizes the Director-General to sign the said Agreement on behalf of the Organization, and
Requests the Director-General to inform all Member Nations concerned of the action taken by the Council.
154. The Council considered the proposed Agreement with the Inter-American Development Bank (IBD) as set out in Document CL 44/LIM/4. It endorsed the view expressed by the Program and Finance Committees (Joint Report, Document CL 44/3, paragraph 26) “that increased co-operation between the two Organizations, as foreseen by the Agreement, would serve the best interest of Member Governments of the Latin American region”.
155. Since the draft Agreement had, however, not been previously referred to the Committee on Constitutional and Legal Matters (CCLM), the Council decided to request the CCLM to review the draft Agreement and, in view of the desirability of concluding it at the earliest possible date, to report to the Council at its present session.
156. At the request of the Council the CCLM considered the draft Agreement at its Fourteenth Session (29 June 1965) and submitted its Report (CL 44/LIM/4-Sup.1), recommending the approval of the draft Agreement, but interpreting the term “overhead costs”.
157. The Council adopted the following resolution:
Resolution No. 8/44
AGREEMENT BETWEEN FAO AND THE INTER-AMERICAN DEVELOPMENT BANK
Considering the desirability of establishing closer links between the Food and Agriculture Organization of the United Nations (FAO) and the Inter-American Development Bank (IBD) by the conclusion of an Agreement for the co-ordination of activities,
Having examined the terms of the proposed Agreement submitted by the Director-General (CL 44/LIM/4), and the comments thereon formulated by the Program and Finance Committees in their Joint Report (CL 44/3) and by the Committee on Constitutional and Legal Matters (CCLM) in the Report on its 14th Session (CL 44/LIM/4 - Sup.1),
Approves, with a view to signature by the Director-General, the Agreement with the IDB as set out in Appendix G to the present Report, subject to confirmation by the Conference, in accordance with Rule XXIV-4(c) of the General Rules of the Organization, on the understanding that Article V of the Agreement will be interpreted as set out in paragraph 158 of the present Report.
158. In connection with Article V of the Agreement, the Council noted that the term “overhead costs” was to be interpreted in accordance with the established FAO practice, and would include such items as communications, postage, office supplies and office accommodation, and that separate agreements to be negotiated by the Director-General on specific projects, in accordance with Articles III and V of the present Agreement, would be based on this interpretation.
159. The Council took note of the suggestion of the delegate for Peru that priority should be given in the execution of the FAO/IDB Agreement to land reform projects, and that an integrated study of agrarian reform financing in Latin American countries should be undertaken.
160. When considering the Memorandum of Understanding between the International Bank and FAO which had been signed by the Director-General of FAO on an interim and conditional basis with a proviso that the continuation thereof would be subject to the approval of the FAO Council, the Forty-Third Session of the Council noted that there was a lacuna in the FAO Statutes with respect to urgent matters arising between sessions of the Council and requiring Council approval. The Council therefore requested the Committee on Constitutional and Legal Matters (CCLM) to examine the possibility of introducing procedures which could be applied in the event of urgent issues arising between Council sessions.
161. The Council, after having considered the Report of the CCLM (CL 44/4, paras 1–9), endorsed the suggestion of the CCLM that, in cases of exceptional urgency, the following procedure, to be embodied in Rule XXV of the General Rules of the Organization, could be applied:
“Should matters of exceptional urgency arise between two sessions of the Council, on which Council action is required, the Director-General, after having consulted the Chairman of the Council, or after notifying him, should such consultation not prove feasible, may seek the opinion of the Members of the Council by any rapid means of communication, informing at the same time all other Member Nations as well as Associate Members and the Chairman of the Council. Subject to the provisions of paragraph 1 of this Rule, the Director-General may proceed with the action contemplated, as soon as he has received concurrence by cable or letter either from the majority of the Members of the Council in cases where decisions of the Council normally have to be taken by a majority of the votes cast, or from two thirds of the Members of the Council where a qualified majority is required. Any such action shall be immediately reported by the Director-General to all Member Nations and Associate Members of the Organization and to the Chairman of the Council.”
162. The Council therefore recommends to the Conference that Rule XXV of the General Rules of the Organization be amended by the addition thereto of the above text, as paragraph 14.
163. The Council considered the reports of the Twelfth and Thirteenth Sessions of the Finance Committee (CL 44/2 and CL 44/3 Part II) covering the financial matters on the Council Agenda, as brought up to date in Document CL 44/32.
164. Status of Contributions and Contributions in Arrears. The Council noted that up to 29 June 1965, the following amounts had been received:
|1965||Comparative Figures for 1964|
|$ 10,060,838||$ 7,659,176|
165. The Council noted with satisfaction the improvement in the trend of contribution payments. This, together with careful financial management, resulted in an improved financial position compared with that reported to the previous Session of the Council. In addition, it is now estimated that Miscellaneous Income will substantially exceed the budgeted amount, partly due to an additional amount of $118,378 from the Expanded Program of Technical Assistance for administrative and operational servicing costs.
166. Contributions in arrears. The Council noted with serious concern that as the arrears due from Bolivia, Haiti, Paraguay and Uruguay exceed the contributions due from them for the 2 preceding calendar years, these countries would have no vote at the forthcoming session of the Conference in accordance with Article III.4 of the Constitution. (See also para. 167 re Bolivia.) The Council urgently appealed to them to regularize their position before the next session of the Conference.
The position of the arrears of these countries is as follows:
167. Arreas from Bolivia. The Council considered the proposal of the Government of Bolivia to liquidate its arrears of contributions over a ten-year period at the same time meeting current assessments when due. Providing that the installment due in 1965 and the current contribution for 1965 will be paid before the Thirteenth Session of the Conference, the Council, stressing that it was not establishing a precedent, recommended the following draft resolution to the Conference:
DRAFT RESOLUTION FOR THE CONFERENCE
Arrears from Bolivia
Noting that the Government of Bolivia had made a proposal, at a time when its arrears of contributions amounted to $28,930.71, that its arrears be liquidated over a period of 10 years while at the same time paying its current contribution when due,
Further noting that the first installment amounting to $2,893.14 due under such an arrangement as well as the contribution due for 1964 had been received in 1964,
Decided (i) that notwithstanding Financial Regulation 5.5 Bolivia's arrears shall be settled through the payment of ten annual installment,
(ii) that the first installment, amounting to $2,893.14, having been paid in 1964, the following eight installments shall be of equal amounts of $2,893.00, and the final installment payable in 1973 shall be $2,893.57,
(iii) that the annual payment of the installments referred to above together with the payment of each current contribution in the calendar year of assessment and any advances to the Working Capital Fund shall be considered as fulfillment of Bolivia's financial obligations to the Organization.
168. Assessment of Tanzania. The Council concurred with the recommendations of the Finance Committee that in view of the union of Tanganyika and Zanzibar on 26 April 1964, the separate assessments of these countries for 1964 and 1965 be canceled and replaced with a single assessment of the United Republic of Tanzania. Accordingly the Council recommended the following draft resolution to the Conference:
DRAFT RESOLUTION FOR THE CONFERENCE
Assessment of Tanzania
Having considered the Report of the Forty-Fourth Session of the Council,
Noting the recommendations of the UN Committee on Contributions under which the United Republic of Tanzania would be assessed in the UN scale of assessments at 0.04 percent,
Recalling that the Twelfth Session of the Conference had assessed the former individual States of Tanganyika and Zanzibar at the minimum rates of 0.04 percent and 0.024 percent respectively for the years 1964 and 1965,
Decides to cancel the separate assessments of the former States of Tanganyika and Zanzibar for the years 1964 and 1965 and to fix the assessment of the United Republic of Tanzania for those same years at 0.04 percent.
169. (i) Final Accounts for Regular Program and Freedom from Hunger Campaign for the fifteenth financial period 1962/63 ended 31 December 1963
(ii) Expanded Program of Technical Assistance (EPTA), 1963
(iii) World Food Program, 1963
(iv) European Commission for the Control of Foot-and Mouth Disease, 1963
(v) United Nations Special Fund, 1963
170. The Council examined the above accounts, and forwarded them to the Conference for adoption in terms of the following resolutions:
DRAFT RESOLUTIONS FOR THE CONFERENCE
Audited Accounts for the Regular Program and Freedom from Hunger Campaign for the Fifteenth Financial Period 1962/63
Having examined the audited accounts of the Regular Program and Freedom from Hunger Campaign for the fifteenth financial period 1962/63, and the External Auditor's report thereon,
Adopts the audited accounts for the above-mentioned period.
Audited Accounts for the Expanded Program of Technical Assistance (EPTA) for the Year 1963
Having examined the audited accounts of the Expanded Program of Technical Assistance for the financial year 1963 and the External Auditor's report thereon,
Adopts the audited accounts for the above-mentioned period.
Audited Accounts for the World Food Program for 1963
Having examined the audited accounts of the World Food Program for the financial year 1963 and the External Auditor's report thereon,
Adopts the audited accounts for the above-mentioned period.
Audited Accounts for the European Commission for the Control of Foot-and-Mouth Disease for the Year 1963
Having examined the audited accounts of the European Commission for the Control of Foot-and-Mouth Disease for the financial year 1963 and the External Auditor's report thereon,
Adopts the audited accounts for the above-mentioned period.
Audited Accounts for the United Nations Special Fund for the Year 1963
Having examined the audited accounts of the United Nations Special Fund for the financial year 1963 and the External Auditor's report thereon,
Adopts the audited accounts for the above-mentioned period.
171. The Council noted that the Director-General had recommended a Working Capital Fund of $5 million in view of:
172. The Finance Committee had agreed with the Director-General that an increase in the level of the Working Capital Fund is necessary, but had concluded that a level of $4.5 million (including an amount of $500,000 to fund emergency expenditure on epizootics) would be appropriate in the circumstances. The Council concurred with the conclusions of the Finance Committee and recommended that the Fund should be increased to $4,500,000 to be financed in the following manner:
173. The Council considered that although this method of financing was at variance with the provisions of Financial Regulation 5.2(a) and 7.1, it would ensure a more speedy build-up of the level of the Fund. The proposed method of financing the increase of the Working Capital Fund did not affect the total financial obligations of Member Governments. The Council, with two members reserving their position, accordingly submitted the following draft resolution for consideration by the Thirteenth Session of the Conference:*
* Note: Canada and France reserved their position.
DRAFT RESOLUTION FOR THE CONFERENCE
Level of the Working Capital Fund
Considering the need to provide an appropriate relationship between the level of the Working Capital Fund and the level of the Budget in order to safeguard the financial liquidity of the Organization,
Considering also the need to increase the Working Capital Fund to cover demands that may be made on it to provide funds for use in the control of epizootics in certain emergencies,
Noting that the Finance Committee recommended that the level of the Working Capital Fund be increased to $4,500,000 and that this increase be met:
First by applying the estimated Miscellaneous Income for 1966–67 to the extent of $1,000,000 and
Secondly by applying $1,000,000 of the Administrative and Operational Servicing Costs which will accrue to the Organization in 1966–67 from the Expanded Program of Technical Assistance,
Noting further that the Council at its Forty-Fourth Session concurred in the recommendations of the Finance Committee,
Decides that as from 1 January 1966 the level of the Working Capital Fund shall be $4,500,000 and that:
Member Nations shall be reassessed in accordance with the provisions of Financial Regulation 6.2(v) as from 1 January 1966 on the basis of the Scale of Contributions for 1966–67,
notwithstanding the provisions of Financial Regulation 5.2(a) the estimated Miscellaneous Income for 1966–67 in the amount of $1,000,000 together with $1,000,000 of the Administrative and Operational Servicing Costs which will accrue to the Organization in 1966–67 from the Expanded Program of Technical Assistance shall be applied to meet the increase and credited to Member Nations in accordance with the 1966–67 Scale of Contributions.
174. The Council noted that the Finance Committee will review at its September Session in 1965 the method of reimbursement to the Working Capital Fund of the advance authorized by Council Resolution 6/43, and will submit its proposals to the Forty-Fifth Session of the Council.
175. The Council noted that as a result of the improvement of the financial position of the Organization, the Finance Committee felt that it would not be necessary to borrow funds in 1965. It however concurred with the Finance Committee that it would be prudent to extend the authority granted to the Director-General to contract loans until the end of 1966 in case a temporary shortage of funds should arise during that year.
176. It agreed that the maximum amount to be borrowed should be limited to $1.5 million, and adopted the following Resolution:
Resolution No. 9/44
EXTENSION OF AUTHORITY TO CONTRACT LOANS
Having noted from the report of the Finance Committee the possibility of a temporary cash shortage in 1966,
Authorizes the Director-General to borrow in case of need during the course of 1966 from available sources amounts of up to $1,500,000, such borrowings to be repaid in 1966 as soon as adequate funds are received,
Further authorizes the Director-General to negotiate and contract loans with such lenders as he may select on the best possible terms,
Requests the Finance Committee to keep the position under review and to report to the Council on action taken.
177. By Resolution No. 7/43 of the Forty-Third Session of the Council, the Council authorized the Director-General to withdraw the amount of $170,000 from the Working Capital Fund in order to finance the increased Pension Fund contributions in 1965.
178. As a result of action by the General Assembly of the United Nations which had established 1 March 1965 as the effective date of the introduction of the “full gross” basis for pensionable remuneration rather than 1 January 1965, the amount required to be withdrawn from the Working Capital Fund was reduced to $140,000.
179. The Council therefore submitted the following draft resolution for consideration by the Thirteenth Session of the Conference, in replacement for that included in the Report of the Forty-Third Session of the Council, para. 286:
DRAFT RESOLUTION FOR THE CONFERENCE
Reimbursement of Working Capital Fund
Noting that the 43rd Session of the Council authorized the withdrawal from the Working Capital Fund of an amount of $170,000 to meet the unbudgeted expenditure resulting from the change in the basis of pensionable remuneration as adopted by the United Nations General Assembly (Resolution No. A/RES/2007 (XIX)),
Noting that the amount required for this purpose was re-estimated by the Forty-Fourth Session of the Council at $140,000,
Noting that in accordance with Financial Regulation 6.5(b) advances made from the Working Capital Fund shall be reimbursed by such method as the Conference determines,
Further noting that Miscellaneous Income in 1964/65 is expected to exceed substantially the original estimate,
Decides that notwithstanding the provisions of Financial Regulation 6.1(b) an amount of $140,000 from the excess Miscellaneous Income of 1964/65 shall be used to reimburse the Working Capital Fund for the above-mentioned withdrawal.
180. The Council agreed with the proposal of the Finance Committee concerning the financing of initial emergency measures to control epizootics, and accordingly submitted the following draft resolution for consideration by the Thirteenth Session of the Conference:
DRAFT RESOLUTION FOR THE CONFERENCE
Emergency Fund for use in the Control of Livestock Diseases
Recalling that at its Twelfth Session it had authorized the Director-General to withhold the distribution of any cash surplus of the 1962–63 biennium in order to establish an Emergency Fund for the Control of Livestock Disease (Resolution No. 25/63),
Noting that no cash surplus arose from that biennium,
Recalling further that it had requested the Director-General, in such event, to give consideration to the establishment of a Fund from outside sources and to request Member Nations to offer practical suggestions to this effect,
Noting that no practicable proposals for financing from outside sources were received,
Concurs in the opinion of the Finance Committee that the augmented Working Capital Fund has been established at a level sufficient to finance initial emergency measures for the control of outbreaks of livestock diseases under emergency circumstances which constitute a potential epizootic threat to livestock of other countries,
Authorizes the Director-General, after consultation with the Chairman of the Finance Committee or another member of that Committee designated by him, and in the light of the recommendations of an advisory panel of technical experts, notwithstanding the provisions of Financial Regulation 6.3, to withdraw up to $500,000 from the Working Capital Fund to finance such measures, subject to the proviso that not more than $100,000 may be withdrawn up to 30 June 1966,
Requests the Director-General:
to establish under Article VI (4) of the Constitution such an Advisory Panel comprising three experts of acknowledged competence in epizootiology with three alternates, each being a national of a different Member Nation;
to report to the Council or to the Finance Committee, whichever meets first, immediately after funds have been withdrawn from the Working Capital Fund under this Resolution, giving details of the use made of such withdrawals.
181. By Resolution 42/55 the Conference, at its Eighth Session, decided that the FAO Scale of Contributions would in future be derived directly from the UN Scale of Assessments as in force during the calendar year of the Conference Session and that such scale would be applicable to the two following years.
182. The UN Committee on Contributions developed a new scale for the UN fiscal years 1965, 1966 and 1967 which, however, the General Assembly has not yet acted upon.
183. The Council noted that the Government of the Republic of Indonesia had given notice of withdrawal from the Organization and that as such notice shall take effect in February 1966, the Government of Indonesia is liable for its contribution to the Organization in 1966, but not in 1967, in accordance with Article XIX of the Constitution.
184. In order to avoid a different scale for each of the years 1966 and 1967, the Council agreed that Indonesia should be assessed in 1966 in addition to the 100 percent scale and that the Indonesian contribution for 1966 when received should accrue to Miscellaneous Income.
185. The Council further agreed that the course for the Conference was to adopt the scale recommended by the UN Committee on Contributions, adjusted as usual for the difference in membership (See Appendix B to the present Report).
186. At its Forty-Third Session, the Council recommended that the Director-General should make available to Member Governments the results of the study prepared on the practical ways to assist them in their recruitment activities on behalf of the Organization. The Council was informed that the study had been widely distributed to Member Governments.
187. The Council agreed with the importance of designation by governments of a specific organizational unit through which vacancy announcements could be channeled, and which would be provided with adequate resources to enable follow-up action in locating and evaluating suitable candidates. Some delegates asked that the Director-General take further steps to avoid the direct approaches for employment purposes to officers employed by governments.
188. The Council noted the action being undertaken by the Director-General to strengthen the Recruitment Section in the Personnel Branch by the addition of well-qualified recruitment officers, as soon as resources permit, in order to render existing procedures more effective. These officers would work in close co-operation with the technical divisions and with Member Governments and other national contacts in order to locate qualified professional staff. With such a strengthening the Recruitment Section should be in a position to forecast needs for future recruitment, and thereby be able to provide governments and other sources at an early date with a reasonably firm Organizationwide program of recruitment.
189. The Council recognized the possibility of expanded secondment arrangements under which Member Governments would release to the Organization suitable national civil servants, and also the advantages stemming from the increasing use of associate experts.
190. The Council noted that the Organization is studying the suggestions to recruit junior officers at the P-1 or P-2 level, both for career service with the Organization and as a training measure for subsequent service with the Organization and as a training measure for subsequent service with national governments, taking account of organizational and budgetary implications.
(i) Change in Rome Post Adjustment Classification
191. The latest cost of living index figures available from the International Labour Office for Headquarters staff in the Professional category and above (CL 44/31) indicate that a Class 5 post adjustment became effective on 1 May 1965. The Council therefore concurred in the establishment of Rome as Class 5 for post adjustment purposes, effective as of 1 May 1965 for entitled staff in the Professional category and above on the payroll on 1 July 1965.
(ii) Wage Index Adjustment for Rome General Service Staff
192. The Council was informed by the Director-General (CL 44/31) that, on the basis of the approved wage index formula and taking account of information available through March 1965 from the Istituto Centrale di Statistica of Italy, it appeared that the first 5 percent pensionable adjustment in the General Service basic salary rates for Rome, on the new base date of 1 January 1965, may not fall due before 1 August 1965.
193. The Council approved the Director-General's proposal, in line with the Finance Committee's recommendation, to introduce the 5 percent pensionable adjustment in the Rome General Service salary rates on the date it falls due to entitled staff on the payroll on the first of the month in which the payment is made.
194. The Council approved, upon the recommendation of the Finance Committee (CL 44/3):
The adoption of a new General Service salary scale for Rome (with retroactive effect from 1 January 1965 for entitled staff on the payroll on 1 July 1965), with salary ranges as follows:
In Thousands of Lire
|Grade||Minimum Step I||Annual Increment Step||Maximum Step XI|
The establishment of the non-residence allowance at the rate of Lire 216,000 per annum (US $346) effective from 1 July 1965, replacing the rate of Lire 265,000 p.a. (US $424).
An increase in the amount of family allowance for dependent spouse from Lire 84,000 to 120,000, and for dependent children from Lire 90,000 to 126,000, effective as of 1 January 1965.
An increase in the amount of family allowance for secondary dependents from Lire 30,000 to 48,000 provided (and at such time as) the necessary procedures can be developed for tightening up the criteria applied for eligibility for this allowance.
195. The Council endorsed the Director-General's proposal for a re-examination by the organizations adhering to the common system of the non-residence allowance, with the expectation of developing an approach to the non-residence allowance which would be simpler to administer than the existing “adequate budget” formula.
196. Some delegations expressed concern at the magnitude of the increase in Rome General Service salaries over the past year and their apprehension of the continuing upward trend. They considered that developing countries, which have been enforcing stringent measures to maintain civil service wages at the same level over the past years, even in the light of prevailing inflationary trends, could ill afford to meet the increasing unforeseeable expenditures resulting from salary increases of this nature.
197. The Director-General informed the Council of the results of the review in May by the International Civil Service Advisory Board (ICSAB) of the salary scales for staff in the professional category and above. The Council noted that the ICSAB recommendations were being considered jointly by the Executive Heads of the Agencies, with a view to presenting appropriate proposals to the legislative bodies concerned.
198. The ICSAB recommendations - covering incorporation of three post adjustments into the basic salary scales, an overall increase in existing scales, and revision of both the staff assessment schedule and the existing post adjustment schedules (all such adjustments to take effect 1 January 1966) - included an observation that “the legislative bodies will also no doubt take whatever action they deem appropriate with respect to posts above the level of Under-Secretary or Assistant Director-General. It is desirable that the various organizations should act consistently.”
199. The Council noted that the ICSAB planned to carry out at its 1966 session a comprehensive review of “the principles which should underlie the establishment of salaries for the International Civil Service under present conditions.”
200. The Director-General, in accordance with the request of the Finance Committee, prepared an estimate of the financial implications for the Organization of the Board's recommendations. The cost of the recommended changes in salary scales and the related Pension Fund expenditure was estimated at approximately $870,000 per annum, or $1,740,000 for the biennium.
201. Implementation of Changes in Post Adjustment Classification and Wage Index in Rome. The Council, upon the recommendation of the Finance Committee, authorized the Director-General (a) to effect changes in the post adjustment classification at Headquarters, (b) to introduce changes in local salary scales in Rome as indicated by the wage index, reporting the changes and the proposed funding in respect thereof to subsequent sessions of the Council (this approval is subject to approval by the Thirteenth Session of the Conference of an increase in the Working Capital Fund).
202. The Council requested the Director-General to continue to keep the Finance Committee and the Council informed of post adjustment and wage index developments.
203. To effect these measures, the Council approved an amendment to Staff Regulation 301.133, with effect from 1 January 1966, as follows:
Amendment to Staff Regulation 301.133
(Additions to the present text are underlined; deletions are in square brackets)
In order to preserve equivalent standards of living at different offices, the Director-General shall adjust the basic salary rates provided in Staff Regulation 301.131 [shall be adjusted] by the application of non-pensionable post adjustments, the amount of which shall be determined on the basis of relative costs of living, standards of living and related factors at the office concerned in the light of inter-agency agreement where appropriate.
The Director-General shall report such adjustments for Headquarters and propose the funding thereof to the next following session of the Council. [Such adjustments shall be made:
for Headquarters with the prior approval of the Council;
for offices other than Headquarters, on the Director-General's own authority.]
204. The Council again expressed its appreciation for the assistance of the Italian Government in providing additional office space at Headquarters. However, even after taking into account the new temporary building presently being constructed by the Organization, the space problem is likely to become increasingly acute over the next few years. This will persist until such time as Building “D” can be made available by the Italian Government.
205. Construction of alternative premises for the present occupants of Building “D”, the Italian Ministry of Posts and Telecommunications, has not yet commenced, and completion cannot be expected in the relatively near future unless specific measures are taken. The Council therefore appealed to the Italian Government to be good enough to take steps to speed the construction in order to permit the allocation of Building “D” to the Organization at an early date. The Council also requested the Italian Government to consider the possibility of making available additional office premises on an interim basis, pending the allocation of Building “D”.
206. The Council was informed that negotiations in process for some time between the Italian Government and the Organization with regard to adjustments in the Headquarters boundaries have now reached a satisfactory stage, and expressed the hope that they would be concluded before the Thirteenth Session of the Conference.
207. The Council noted with satisfaction the valuable and effective services of the present External Auditor and the recommendation of the Finance Committee, and decided to re-appoint the Comptroller and Auditor General of Great Britain as External Auditor of the Organization for an additional two years commencing with the accounts for the year 1966. It accordingly adopted the following resolution:
Resolution No. 10/44
APPOINTMENT OF EXTERNAL AUDITOR
Noting that the Finance Committee recommended the re-appointment of the present External Auditor of the Organization,
Recognizing the continued valuable and effective services of the External Auditor,
Decides to re-appoint the Comptroller and Auditor General of Great Britain as External Auditor of the Organization for a further two years commencing with the accounts for the year 1966.
208. Owing to the departure from Rome of Dr. Carolus Eygenraam, Netherlands, a member of the FAO Staff Pension Committee representing the Conference, and the departure before the end of the year of two alternates, Mr. Maharaj Krishan, India, and Mr. Gad Elron, Israel, the Council made the following appointments for the unexpired terms through 31 December 1965, under the authority delegated to it by the Eighth Session of the Conference to appoint replacements to Conference-appointed members in the event of resignations or transfers:
Mr. M.H. Brodhaag, Netherlands, to serve for the unexpired term of Dr. Eygenraam;
Mr. E.A. Okwuosa, Nigeria, as alternate for the unexpired term of Mr. Elron; and
Mr. Barkat Ahmed, Pakistan, as alternate for the unexpired term of Mr. Krishan.
209. The Council considered that the decade ahead promises to present the world with some of the most critical years, especially in matters in which FAO is vitally concerned. Under the existing structure the Organization has shown how much can be done and has made the world aware of the needs ahead. The challenge of the future, it was felt, however, required a fresh look at the overall organizational needs, and consequently the structure of FAO's set-up, in order to ensure that the Organization will be equipped to face the tasks ahead.
210. The Council agreed with the Director-General that an organizational survey, while a costly and disturbing undertaking, would be worthwhile in order to ensure that FAO is well-equipped for the responsibilities facing it in the near future.
211. The Council requested the Director-General to study the ways and means by which such a review should be undertaken and the terms of reference of the survey, and adopted the following resolution:
Resolution No. 11/44
SURVEY OF THE ORGANIZATION'S GENERAL STRUCTURE
Taking account of the substantial increase of the Organization's programs and activities, and
Considering that the operational programs and activities are likely to increase still further in the next few years,
Recognizing the necessity to gear the organizational structure to the increased activities and responsibilities;
Decided to place on the agenda of the Thirteenth Session of the Conference (November 1965) a proposal that the Conference requests the Council to arrange for a review of the organizational structure of FAO in terms of evaluating its potential to meet the urgent responsibilities of the years ahead, with a view to submitting a report together with recommendations by the Director-General to the Council for its consideration and submission to the Fourteenth Session of the Conference,
Further decides to invite the Director-General to prepare the framework of such a review in time for consideration by the Forty-Fifth Session of the Council and the Thirteenth Session of the Conference.
(i) Operation of Sundry Trust Funds (Document CL 44/2)
212. The Council noted that the Finance Committee, at its Twelfth Session, had agreed with the Director-General's proposal, following the development of activities in Sundry Trust Funds, to revert to the system previously in force whereby income from the application of overhead charges on these Funds be credited to a Trust Fund Operating Account and that the same account be charged with identifiable costs pertaining to the operation of such Funds.
(ii) Amendments to the Agreement between FAO and the International Bank for Reconstruction and Development and the International Development Association
213. At its Forty-Third Session the Council had approved, in accordance with the provisions of Rule XXIV-4(c) of the General Rules of the Organization, an Agreement between FAO and the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA), relating to the FAO/IBRD Co-operative Program.
214. Subject to certain qualifications, the Agreement provided that the cost of the Program would be shared on a 50:50 basis by FAO and the Bank up to a ceiling, and that costs in excess of that ceiling up to a specific amount would be met by the Bank.
215. It had become apparent however by the end of the first year of operation of the Program that the pace of the Program, and hence the costs incurred, would be greater than expected. A special agreement had been negotiated between the Bank and FAO for 1965 according to which the budget for the current biennium was in the amount of $1,175,000, instead of the $800,000 originally envisaged, with FAO's contribution remaining unchanged at $200,000.
216. This arrangement was reported to the Program and Finance Committees as well as to the Joint Session of the two Committees. The Committees were also informed that for 1966–67 it was expected that the total expenditure would be of the order of $1,800,000, and that the Bank had intimated that of this amount it would provide $1,350,000 as against a possible FAO contribution of $450,000, the Bank thus contributing three-quarters of the total cost of the Program.
217. In order to avoid as far as possible uncertainty as to financial implications in future biennia the Program and Finance Committees at their Joint Session suggested that it might be desirable to have an informal understanding between the Bank and FAO within the terms of the present Agreement, to the effect that the cost-sharing for the total Program be on a 75:25 basis for the Bank and FAO respectively so far as this might be practicable within the financial resources of FAO (see document CL 44/3, page 2, paragraphs 9 and 10, and page 51, paragraphs 259–263).
218. The Bank has now indicated that it has no objection to formalizing this arrangement and to alter the “50:50 up to a ceiling” cost-sharing formula as outlined in paragraph 4 of the Agreement to a formula whereby FAO would provide 25 and the Bank 75 percent of the total cost of the Program, subject to the qualifications otherwise set forth in the Agreement.
219. The Bank therefore proposed to ask its Executive Directors to recommend to the Boards of the Bank and IDA to amend the Agreement between IBRD/IDA and FAO, and the Director-General submitted the proposed amendments to the Council in document CL 44/LIM/3.
220. The Council approved these amendments in accordance with Rule XXIV-4(c) of the General Rules of the Organization, and accordingly adopted the following resolution:
Resolution No. 12/44
AMENDMENT TO AGREEMENT BETWEEN IBRD/IDA AND FAO
Recalling that by resolution No. 1/43 it had approved, in accordance with the provisions of Rule XXIV-4(c) of the General Rules of the Organization, an Agreement between FAO and the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA), the text of which is given as Appendix C to the report of its Forty-Third Session,
Noting that the Director-General and the President of IBRD/IDA have examined the financial arrangements for the operation of the FAO/IBRD Co-operative Program set up under the above mentioned Agreement, with a view to ensuring its continued progress,
Endorsing the views of the Program and Finance Committees in the joint report of these Committees (CL 44/3) relating to the new financial arrangements proposed by the Director-General and the President of IBRD;
Considering that it would be desirable for effect to be given to these new arrangements by an amendment to the Agreement between FAO and IBRD/IDA at present in force,
Decides that upon receipt of notification of the approval of the competent bodies of IBRD/IDA, sub-paragraphs (a) and (g) of paragraph 4 of the Agreement between FAO and IBRD/IDA shall be amended in accordance with Rule XXIV-4(c) of the General Rules of the Organization to read as follows:
Subject to the qualifications set forth below, the direct costs of FAO in connection with agreed work under the Program, including salaries, allowances and other benefits and travel costs of the FAO team, of outside consultants and other FAO staff members assigned to such work, will, until December 31, 1965, be shared equally by FAO and the Bank up to a ceiling figure to be fixed from time to time by agreement between the two Organizations.
Continuation of the Program beyond December 31, 1965, will be subject to mutual agreement in the light of experience and to the decision of FAO's 1965 Conference. If the program is continued the direct costs of FAO for agreed work under the Program as defined in sub-paragraph (a) shall be shared in the proportion of 25 percent by FAO and 75 percent by the Bank, subject to the qualifications set forth in sub-paragraphs (b), (c), (d) and (e).
221. The delegation of Poland stated that it maintained all the reservations it had expressed in the course of the discussion of the various items on the Agenda of the Forty-Fourth Session of the Council and which appeared in the verbatim records thereof.