Programme support costs 66 21

(t) Special account for programme support costs

(i) Special Account for Programme Support Costs

Special account for programme support costs 84.5

a Excludes programme support costs amounting to 164 million.

a Excludes programme support costs amounting to 164 million.

Recovery charges cover the costs for programme support and management and administration.

The discrepancy indicated by the Board relates to the programme support costs.

Total expenditures amounted to 5 million, including 4.7 million for programme costs and 0.3 million for indirect support costs.

Also, the financial efficiency of the organization improved, resulting in a respectable 9 1 ratio of programme delivery costs to staff support costs.

(i) Reimbursement for programme support costs is provided for in respect of extrabudgetary technical cooperation activities.

In 2003, the United Nations regular budget met 39.5 per cent of management and administration costs and 13 per cent of programme support costs.

In 2003, the United Nations regular budget met 39.5 per cent of management and administration costs and 13 per cent of programme support costs.

In this regard, the Committee notes that in addition to support costs, there are programme costs, with the line between them often being vague and the latter including an element of support costs that is not always clearly disclosed.

(b) Systematically charging the 13 per cent of programme support costs (overhead) to programmes grants whenever possible.

(c) Total revised estimated expenditure for 2005 is 4,427,400, including a provision of 201,200 for programme support costs.

As indicated in paragraph 6 above, all efforts need to be undertaken to reduce support costs in favour of programme activities.

Seven per cent of all contributions to the supplementary programme budget are transferred to the Annual Programme Fund to cover administrative costs in support of the supplementary programmes.

One of the key issues underlying discussions on funding is how best to finance the three basic categories of expenditures programme expenses programme support costs and administrative expenses.

Major Programme H Indirect Costs

An outstanding question is the extent to which cost recovery should also make a contribution to the basic administrative costs of the organization and to some part of the programme support costs that cannot be clearly attributed to any specific programme activity.

The work undertaken in the services cluster (cluster 3 of the new programme structure) and by EDM, as well as the programme support costs and working capital reserve, are in support of both the Convention and the Protocol.

Programme F.4 Field Operating Costs

Requests the Executive Director to monitor the ratio between the programme and the support budgets to ensure that support costs are not increased to the detriment of expenditure on programmes

(c) Supporting the growth of Special Purpose Grants programmes, which are an important source of financing for the General Fund through programme support costs.

Programme F.4 Field Operating Costs 90

(iii) Unliquidated obligations in respect of the special account for programme support costs are accounted for on the same basis as for the regular budget.

Seven per cent of all contributions to the supplementary programme budget, amounting to 11,079,241, was transferred to the Annual Programme Fund to cover administrative costs in support of the supplementary programmes during 2004.

In agreement with UNDP and UNFPA, the UNICEF portion of centrally shared security costs, previously included under the biennial support budget (programme support), are now shown as a separate appropriation for 2006 2007.

The contingency for conference services would amount to USD 6.6 million for interpretation, documentation and meetings services support requirements, making a total of USD 7.8 million including programme support costs and working capital reserve.

Total resources requirements for the biennium 2006 2007, including programme support costs and working capital reserve, but excluding possible conference servicing costs, are estimated at US 23,624,000 (EUR 18,185,000) (US 11,740,000 for 2004 and US 11,884,000 for 2005).

This amount includes the amount needed for travel and project grants, the annual session of the Board of Trustees, programme support costs and an operating cash reserve.

The 415,683 exchange difference results primarily from the revaluation of the United States dollar cash and term deposits held by the special account for programme support costs.

Overall programme expenditure, including support costs paid to implementing agents, decreased by 1.4 million, or 5 per cent, from 27.0 million in 2003 to 25.6 million in 2004.

(ii) In the financial statements of the Organization, the special account for programme support costs is shown separately from the inter organization funds, from which its income derives

Programme support

Programme support

Programme support

Costs for common support services are estimated at 10,400.

The development and use of common country assessments and development assistance frameworks must be efficient and support programme delivery in a manner which kept transaction costs to a minimum.

Programme H.1 Contribution to shared services and other indirect costs

C. Programme support

Additional support budget allocation for 2005 for increased security costs

Additional support budget allocation for 2005 for increased security costs

This was due to the expansion in the special purpose grant projects and consequent income from programme support costs, and to the increase in voluntary contributions posted to the General Fund.