UNIFIL – Budget – SecGen report

Budget for the United Nations Interim Force in Lebanon
for the period from 1 July 2002 to 30 June 2003

 Report of the Secretary-General*

Contents 

I.  Overview 

1.   The present report contains the proposed budget for the period from 1 July 2002 to 30 June 2003 for the maintenance of the United Nations Interim Force in Lebanon (UNIFIL), which amounts to $112,376,000 gross ($108,401,200 net), inclusive of budgeted voluntary contributions in kind amounting to $333,500.

2.  Estimated requirements for the period from 1 July 2002 to 30 June 2003 represent a 17.9 per cent decrease ($24,440,100) in total resources (gross) in relation to the apportionment for the current period from 1 July 2001 to 30 June 2002. The proposed overall decrease includes a 35.5 per cent decrease in military personnel costs, a 3.3 per cent decrease in operational requirements and a 5 per cent decrease in staff assessment costs. This decrease is partially offset by a 24.1 per cent increase in civilian personnel costs and a 194.0 per cent increase in other programmes. Detailed explanations on these variances are provided in annex I.C to the present report.

 Table 1
Financial resources
(Thousands of United States dollars) 

 ^a   Information on the distribution of resources by standard and mission-specific costs is contained in annex II.B.

 ^b     Exclusive of provision for the support account for peacekeeping operations and the United Nations Logistics Base at Brindisi, Italy.

   Table 2
Human resources 

 ^a   Based on the report of the Secretary-General containing the second revised budget (A/55/482/Add.1).

 ^b  Achieved by 31 January 2003.

3.   The action to be taken by the General Assembly is:

 (a)   To appropriate the amount of $112,042,500 gross ($108,401,200 net) for the maintenance of the Force for the 12-month period from 1 July 2002 to 30 June 2003;

 (b)   To assess the amount set out in paragraph 3 (a) above at a monthly rate of $9,336,875 gross ($9,033,433 net), should the Security Council decide to continue the mandate of the Force.

 II.   Political mandate of the mission

4.   In accordance with Security Council resolutions 425 (1978) and 426 (1978) of 19 March 1978, the mandate of the Force consists of three parts: (a) to confirm the withdrawal of Israeli forces from southern Lebanon; (b) to restore international peace and security; and (c) to assist the Government of Lebanon in ensuring the return of its effective authority in the area. As noted by the Secretary-General in his report dated 22 January 2001 (S/2001/66), UNIFIL has essentially completed parts (a) and (c) of its mandate. UNIFIL now focuses on the restoration of international peace and security.

5.   The current mandate expires on 31 July 2002 (Security Council resolution 1391 (2002) of 28 January 2002).

 III.   Operational plan and requirements

6.   Immediately after the withdrawal of the Israeli Defence Forces in May 2000, the mission’s forces needed to be deployed over an extended area, as described in the Secretary-General’s report to the Security Council (S/2000/460) dated 22 May 2000. The expansion of the Force to a targeted troop strength of 7,935 had been in progress until January 2001, when the Security Council decided to reduce the troop strength to the pre-Israeli Defence Forces withdrawal level of 4,500 troops by July 2001 (S/2001/66 dated 22 January 2001). Further reconfiguration and downsizing of the Force was proposed by the Secretary-General in his report to the Security Council dated 30 April 2001 (S/2001/423). This reconfiguration plan for UNIFIL was endorsed in general terms in a letter from the President of the Council to the Secretary-General dated 18 May 2001 (S/2001/500).

7.   Accordingly, the Force’s troop strength was reduced to 3,494 as at 31 December 2001. UNIFIL closed a number of rear positions and moved troops into closer proximity to the United Nations verification line (Blue Line). 

8.   The 2002/03 budget proposal was prepared in accordance with the latest reconfiguration plan of the Force as outlined in the report of the Secretary-General to the Security Council dated 16 January 2002 (S/2002/55) which was endorsed by the Security Council in its resolution 1391 (2002) of 28 January 2002. This would involve reducing the Force’s troop strength to approximately 2,000 all ranks by January 2003 through non-replacement of contingent personnel or reduction of units on the occasion of their normal rotations. The average troop strength for the budget period would thus be 2,527. The final reconfiguration, however, will be implemented in accordance with developments on the ground and in consultation with the Government of Lebanon and troop-contributing countries, as indicated in paragraphs 3 and 14 of Security Council resolution 1365 (2001) of 31 July 2001. The actual and planned number of troops is expected to vary slightly but not substantially.

9.   The concept of operations is built upon the Force’s remaining mandate of restoring peace and security in southern Lebanon. UNIFIL would maintain its operational effectiveness at this reduced strength by placing higher emphasis on information sharing, liaison, assertive operations and humanitarian assistance. The core elements of the Force’s operational concept are to observe the Blue Line, to dominate the complete area of operations by showing visual presence and to establish an effective information network and a sound liaison system.

10.   The Force will be deployed in 35 operational posts along and adjacent to the Blue Line, and ensure mobility and rapid responses to continually changing situations. This type of operation is dependent on a reliable vehicle fleet, including military pattern vehicles and armoured personnel carriers, and helicopters. Helicopters will be used for reconnaissance of the Blue Line, casualty evacuation, exercises and movement of reserves. All helipads will be upgraded to “A” grade status. The holding of armoured personnel carriers will be reduced from 105 to 66, and that of helicopters from 6 to 4.

11.   UNIFIL will continue to support the Mine Action Coordination Cell and share its mine information database.

 IV.   Contributions made under the status-of-forces agreement

12.   A status-of-forces agreement was signed between the United Nations and the Government of Lebanon on 15 December 1995. In accordance with the agreement, the Government extends privileges which include: importation, free of duty or other restrictions, of equipment, provisions, supplies and other goods which are for the exclusive and official use of UNIFIL; provision without cost to UNIFIL of 79 buildings and areas for headquarters and camps and exemption from any taxes or duties in respect of all official local purchases.

 V.   Voluntary contributions and trust funds

 A.   Voluntary contributions 

 ^a   This service has been provided on a continuing stand-by basis since inception. The service was not used during the period from 1 July to 31 December 2001.

 ^b   The Government of Lebanon began making this voluntary contribution in February 1998.

 B.   Trust funds

13.   No trust fund has been established in support of UNIFIL.

 VI.   Status of reimbursement of troop-contributing Governments

14.   The current troop contributors are the Governments of Fiji, France, Ghana, India, Ireland, Italy, Nepal, Poland and Ukraine.

15.   Full reimbursement in accordance with standard rates established by the General Assembly for troop costs has been made to the troop-contributing States up to 31 October 2001. It is estimated that an amount of $16.7 million is due for troop costs for the period ending 28 February 2002.

 VII.   Contingent-owned equipment and self-sustainment

 A.   Method of reimbursement

16.   Memorandums of understanding have been signed with eight of the Force’s troop-contributing Governments. Eight troop-contributing Governments of UNIFIL have opted for the wet-lease arrangements for reimbursement of contingent-owned equipment.

 B.  Requirements

 1.  Major/special equipment

17.   Requirements for the period under review for reimbursement to troop-contributing countries have been based on standard reimbursement rates for contingent-owned equipment (wet-lease) and self-sustainment for three infantry battalions and one specialized support unit.

 2.  Self-sustainment 

18.   The estimated requirements of $1,693,189 for self-sustainment for three troop-contributing countries are shown below:

 3.  Mission factors 

19.   Mission factors intended to compensate troop-contributing countries for extreme operating conditions in the mission area apply to the monthly reimbursable rates as indicated in the table below:

 VIII.   Staffing requirements

   Changes in staffing requirements 

20.   In line with the overall downsizing of UNIFIL, it is proposed that 55 posts, comprising 21 international staff (4 Professional, 11 General Service, and 6 Field Service) and 34 local staff, be abolished.

21.   The 55 posts being abolished are listed below:

 (a)   Two Professional posts at P-4 and P-3 levels, and one General Service post in the Force Commander’s Office;

 (b)   One Field Service post in the Chief Administrative Office;

 (c)   One Professional post at the P-3 level, two Field Service posts, one General Service post, as well as six local posts in the Civilian Engineering Office;

 (d)  One General Service post in the Personnel Section; 

 (e)  Four local posts in the Communications Section;

 (f)   Two Field Service posts, three General Service posts and fifteen local posts in the Transport Section;

 (g)   Three General Service posts and two local posts in the Procurement Section;

 (h)  One General Service post in the Finance Section;

 (i)   One General Service post and seven local posts in the Military Support area;

 (j)   One P-3 Professional post and one Field Service post in the Integrated Support Services.

22.   For the same period, one new Professional post at the P-3 level is proposed for a Chief Medical Officer in the Office of Integrated Support Services. The function of this post is currently performed by a Polish military person who is in the process of repatriating from UNIFIL as a result of the scheduled downsizing of the Polish battalion in October 2002.

23.   The abolition of 55 posts and the establishment of one post would bring the UNIFIL civilian establishment from 483 for the 2001/02 financial period to 429 for the 2002/03 financial period.

24.   In paragraph 12 of its resolution 56/214 of 21 December 2001, the General Assembly requested the Secretary-General, in order to reduce the cost of employing General Service staff, to continue his efforts to employ locally recruited staff for the Force against General Service posts, commensurate with the requirements of the Force. While, for operational reasons, no conversions to local posts from the approved General Service staffing establishment are possible at the present stage, reductions in both General Service and local staff positions are proposed in the present budget.

25.   The proposed distribution of civilian staff by category and office is contained in annex III, with the actual and projected deployment schedule shown in annex IV.

 IX.   Qana incident

26.   In paragraph 13 of its resolution 56/214, the General Assembly reiterated its request to the Secretary-General to take the necessary measures to ensure the full implementation of paragraph 8 of its resolution 51/233, paragraph 5 of its resolution 52/237, paragraph 11 of its resolution 53/227, paragraph 14 of its resolution 54/267, paragraph 14 of its resolution 55/180 A and paragraph 15 of its resolution 55/180 B, stressed once again that Israel would pay the amount of $1,284,633 resulting from the incident at Qana on 18 April 1996, and requested the Secretary-General to report on that matter to the Assembly at its resumed fifty-sixth session.

27.   Pursuant to the adoption of those resolutions, that amount has been recorded under accounts receivable for UNIFIL and the Secretariat has addressed six letters to the Permanent Representative of Israel on the subject, the most recent of which was dated 6 February 2002, to which no response has been received.

 X.  Objective-setting

28.   The UNIFIL civilian administration aims to achieve the following objectives in the light of the newly introduced result-based budgeting concept:

Objective 1 : To achieve an effective logistic support system for the mission through integration of military and civilian components in decision-making processes and ensure that the needs of the troops are fully met.

Objective 2 : To ensure optimal reduction of civilian staff in conformity with the reduction of military personnel.

Objective 3 : To raise health and safety standards for all personnel of the mission.

 C.   Supplementary explanation

1.   The budget of UNIFIL for the financial period 2002/03 provides for the deployment of a reduced average number of 2,527 military contingent personnel, supported by a reduced staffing establishment of 124 international staff (25 Professional, 76 Field Service and 23 General Service posts) and 305 local staff by 31 January 2003. The proposed budget also reflects reduced requirements for reimbursement to troop-contributing Governments of contingent-owned equipment on wet-lease arrangement and self-sustainment provided to UNIFIL, as well as for premises/accommodation, transportation, air operations support, communications, supplies and services and air and surface freight. These reduced requirements are partially offset by increased requirements for relocation of international staff and for mine-clearing programmes, training programmes and other equipment.

   Military personnel 

    Apportionment: $85,589,400; estimate: $55,210,100; variance: ($30,379,300) 

2.   The decrease of $30,379,300 under this heading is attributable to a decrease of $24,278,200 under military contingents and a decrease of $6,101,100 under other requirements pertaining to military personnel.

   Military contingents

    Apportionment: $73,807,700; estimate: $49,529,500; variance: ($24,278,200) 

3.   The decrease of $24,278,200 is a result of the downsizing of the Force based on the deployment schedule of military contingents, as shown in the table below. The 12-month average number of UNIFIL contingent personnel is 2,527 for infantry battalions, as well as specialized support units, compared with the average 4,057 contingent personnel in the 2001/02 financial period budget. The estimates cover requirements for standard troop-cost reimbursement ($32,817,200), welfare ($553,400), rations ($7,546,000), daily allowance ($1,180,700), travel and subsistence allowance for military personnel ($164,300), emplacement and rotation travel ($5,054,200) and clothing and equipment allowance ($2,213,700), based on the phased-out redeployment schedule of military contingents.

    Other requirements pertaining to military personnel

    Apportionment: $11,781,700; estimate: $5,680,600; variance: ($6,101,100) 

4.   The estimate includes a provision of $2,987,400 for the reimbursement to troop-contributing countries for the equipment brought into the mission area based on wet-lease arrangements and $1,693,200 for self-sustainment, as detailed in annex II.A. Provision of $1 million has been made to cover potential claims for the death, disability or injury of military personnel (compared with $1,010,800, had the standard provision of 1 per cent of all contingent personnel, based on annual maximum cost of $40,000 per claim, been applied).

   Civilian personnel

    Apportionment: $25,035,800; estimate: $31,076,900; variance: $6,041,100 

5.   The increased requirement under this heading relates to international and local staff costs.

   International and local staff

    Apportionment: $25,035,800; estimate: $31,076,900; variance: $6,041,100 

6.   The increased budget under this heading is mainly attributable to inclusion of the cost for relocation of UNIFIL international staff. A provision of $6,995,000 (detailed in annex II, part A) is made for relocation of UNIFIL international staff from Israel to Lebanon based on detailed proposals prepared by the Department of Peacekeeping Operations.

7.   The estimate of $376,600 for other travel costs will finance travel of staff, as detailed in annex II, part A. The increase in other travel cost is mainly due to an inclusion of budgets of $144,500 for IT support visits and $51,000 for the installation of FESS, Mercury, COE/MOU/VR MovCon, Galaxy and E-stars systems for peacekeeping missions in the region including UNIFIL, UNDOF and UNIKOM.

8.   However, the above-mentioned increased requirements were offset partially by the decrease in salary requirements for 2002/03 compared with the apportionment for the 2001/02 due to the reduction of 20 international posts (3 Professional posts, 11 General Service posts and 6 Field Service posts) and 34 local posts by 31 January 2003.

9.   Salary calculations are based on a gradual phasing out of 55 posts reaching to a total of 429 posts (124 international and 305 local) by January 2003 in accordance with the deployment schedule of civilian personnel as shown in annex IV. A vacancy factor of 5 per cent has been applied for international staff posts. In view of the fact that UNIFIL is a long-established mission and is a family mission as well, there are no mission appointees.

10.   Salaries for 305 local staff posts were calculated based on level 4, step 10, net of the salary scales applicable to Beirut, effective 1 March 1998. Based on past incumbency experience, no vacancy factor has been applied.

    Operational requirements

    Apportionment: $21,804,800; estimate: $21,079,700; variance: ($725,100) 

11.   The estimate of $21,079,700 includes non-recurrent cost requirements, which amount to $2,152,100.

12.   The decrease of $725,100 under this heading is attributable to decreased requirements under every budget line except those of Transport Operations and Other Equipment.

   Premises/accommodation

13.   The decrease of $244,300 funding requirement, from $1,852,600 to $1,608,300 under this heading is owing mainly to lower requirements for maintenance supplies and services and utilities, as a result of the downsizing of the Force. The decrease is partially offset by a provision for routine replacement of 50 ageing prefabricated accommodations and ablution units during the budget period, and by an additional provision for the construction of a central warehouse to enlarge storage space of expendable inventory items and spare parts, as part of an overall inventory management plan. This plan aims at increasingly effective control over those items, in response to the recommendation made by the Board of Audit.

14.   With the realignment of the Force to the Blue Line, the area of operations has been increased in size and changed in nature. The new area of operations is along and adjacent to the Blue Line, while the former area of operations is now the area of interest. As a result, a provision of $157,400 is made for asphalting the road network along the Blue Line and upgrading sealed hard standings and internal roads systems within United Nations positions. 

15.   The provision under this heading includes rental of premises ($26,200), alteration and renovation of premises ($212,600), maintenance supplies ($304,000) and services ($231,800), electricity and water utilities ($121,300), construction of positions and warehouse ($555,000) and upgrading of roads ($157,400).

   Transport operations

16.   Requirements for replacement and acquisition of vehicles, as detailed in annex II.C, amount to $34,500 and are substantially lower than the 2001/02 financial period resources provided by the General Assembly ($373,800). Only one forklift is scheduled for replacement during the period, taking into account the expected reduction in the size of the UNIFIL vehicle fleet resulting from downsizing of the Force. The increased requirement under this heading is mainly attributable to resources provided to cover requirements of $2,100,000 for refurbishment and maintenance of 48 Sisu armoured personnel carriers under contract arrangements with Patria Transports of Finland. The Sisu armoured personnel carriers in the UNIFIL area of operations were previously maintained and refurbished by the Finnish contingent under wet-lease arrangements. Following the departure of the Finnish contingent from UNIFIL in November 2001, such an arrangement is no longer applicable.

   Air operations 

 (a)   Helicopter operations

17.   Approved 2001/02 resources of $1,323,600 provided for rental of six AB-205 helicopters for two months and four AB-205 helicopters for 10 months. The reduced estimate for helicopter operations for the 2002/03 financial period of $1,292,700 is based on four helicopters required for the entire 12-month period. The estimate provides for a total 720 hours at $1,583 per flight hour for hire/charter cost.

 (b)  Fixed-wing aircraft

18.   The reduced estimate is made for the hire/charter cost ($14,400) of one United Nations aircraft (two budgeted for the 2001/02 financial period) used on occasions to deliver goods from Brindisi or other missions based on eight IL-76 flight hours at $1,800 per hour. In the past, several planes have arrived and been serviced in Beirut, and UNIFIL was accordingly charged for fuel and basic aircraft operating costs for any consequential route diversions and/or additional flight time incurred in direct support of the UNIFIL operational activities. Provision for aviation fuel cost in the amount of $26,700 is made for refuelling a fixed-wing transport aircraft flying a total of eight hours, based on the Beirut aviation fuel price of $325 per 1,000 litres, at an average consumption rate of 10,250 litres per hour, as well as landing and ground-handling fees.

19.   It should be noted that the estimate for aviation fuel and lubricants takes into consideration the most recent rates for petrol, oil and lubricants.

20.   Information regarding flying hours, hire charges, fuel costs and insurance is also provided in annex II.A.

   Communications 

21.   The reduced 2002/03 estimate of $1,146,500, inclusive of $126,700 in non-recurrent requirements (compared with $1,567,400 for the 2001/02 financial period) under this heading reflects the decrease in numbers of items of communications facilities and equipment in UNIFIL to be replaced in consequence of the changed operational requirements. The resources provided under this heading also cover requirements for communications workshop and test equipment ($110,000), spare parts and supplies ($535,900) and commercial communications ($483,900).

   Other equipment

22.   Requirements for the reporting period under this budget heading, as detailed in annex II.C, of $2,669,500, inclusive of $1,845,400 in non-recurrent items, are higher than that for the 2001/02 period ($2,429,900). The estimate provides for routine replacement of various items of office furniture, office equipment, electronic data-processing equipment, generators, observation equipment, medical and dental equipment, accommodation equipment and miscellaneous equipment. The increase is owing mainly to additional requirements for purchases of electronic data processing and software related to information technology support for the mission ($584,000) and Carlog system ($308,597). The increased requirement is also attributable to replacement of five ageing generator sets for the UNIFIL headquarters central power house, in order to continue use of captive power, since the local power supply is unreliable.

    Supplies and services

23.   The overall requirements under this heading show a decrease of $188,600, from $5,287,500 in the 2001/02 financial period to $5,098,900 for the 2002/03 financial period, as a result of the downsizing of the Force. The decrease is partially absorbed by the increase in funding requirements for both claims in hand and projected claims in connection with the closing of military positions resulting from reconfiguration of the Force, as detailed in annex II.A. It should be noted that UNIFIL is in the process of handing over land and structures occupied by the Force to their rightful owners.

   Air and surface freight

24.   The reduced estimate of $476,000 under this heading covers the freight cost of contingent-owned equipment for UNIFIL, as well as the cost of shipping and handling of supplies and equipment for which no provision has been made elsewhere.

   Other programmes

   Apportionment: $351,900; estimate: $362,900; variance: ($11,000)

    Training programmes

25.   The increased estimate under this heading reflects requirements related to technical training, including travel, in the areas of finance, procurement, communications, electronic data processing, transport, air safety, management and AIDS/HIV awareness, as detailed in annex II.A.

    Mine-clearing programmes

26.   Requirements of $671,600 under this heading include the cost of contractors services ($502,200) in lieu of the four civilian staff posts which were converted into non-post resources and budgeted under contractual services for the budget cycle commencing 1 July 2001 for the Mine Action Coordination Cell in UNIFIL. In addition, projected requirements cover equipment ($132,700), miscellaneous supplies ($25,800) and miscellaneous services ($10,900), as detailed in annex II.A.

   Staff assessment

    Apportionment: $3,833,000; estimate: $3,641,300; variance: ($191,700) 

27.   The amount budgeted under this heading represents the difference between gross and net emoluments, that is, the amount of staff assessment to which the United Nations staff members are subject, in accordance with the Staff Regulations of the United Nations. The staff assessment for 124 internationally recruited staff is estimated on the basis of the 2002-2003 standard cost rates for New York, while the staff assessment for 305 local staff is estimated by using the scale currently applicable in the mission area, in accordance with the phased deployment of international and local staff shown in annex IV.

    Income from staff assessment

    Apportionment: ($3,833,000); estimate: ($3,641,300); variance: $191,700 

28.   The staff assessment requirements provided for under expenditure budget line V have been credited to this item as income from staff assessment and will be credited to the Tax Equalization Fund established by the General Assembly in its resolution 973 A (X) of 15 December 1955. Member States are given credit in the Fund in proportion to their rates of contribution to the UNIFIL budget.

Annex V 

Implementation of previous recommendations
of the Advisory Committee on Administrative
and Budgetary Questions 

  During the meetings held on 22 and 23 February 1996 on the financing of the United Nations Disengagement Observer Force (UNDOF) and the United Nations Interim Force in Lebanon (UNIFIL), the Advisory Committee had requested that information be provided on the estimated cost to the United Nations Truce Supervision Organization of direct support to UNDOF and UNIFIL. Since then, the Secretariat has provided such information on a regular basis. The table below provides requisite information for the biennium 2002-2003:

    United Nations Truce Supervision Organization: estimates of direct support provided to the United Nations Interim Force in Lebanon for the period from
1 January 2002 to 31 December 2003
(Thousands of United States dollars)

_____________

 *   The document was submitted late to the conference services without the explanation required under paragraph 8 of General Assembly resolution 53/208 B, by which the Assembly decided that, if a report is submitted late, the reason should be included in a footnote to the document.