RESOLUTION LFC 221

FORUM: LEGAL & FINANCE COMMITTEE

QUESTION OF: Measures to ensure the financing of UN agencies by member states

SUBMITTED BY: Bosnia & Herzegovina

CO-SUBMITTERS:Argentina, Cameroon, Canada, Dominican Republic, Jamaica, Kazakhstan, Malta, Honduras, Haiti, Lebanon, Poland, Paraguay, Turkmenistan, Togo, Solomon Islands, Liberia, Pakistan, Ukraine.

STATUSPassed

THE LEGAL AND FINANCE COMMITTEE,

 

Reminds that Under Article 19 of the UN Charter, any country in arrears of its dues payments in an amount that equals or exceeds the contributions due for two preceding years can lose its vote in the General Assembly,

 

Declaring that United Nations (UN) is an intergovernmental organization that aims to maintain international peace and security, develop friendly relations among nations, and be a centre for harmonizing the actions of nations,

 

Considering that 64 states had not paid their dues in the previous year,

 

Bearing in mind that financing Peacekeeping missions are mandatory for each of 196 Member State,

 

Aware of the fact that, according to the United Nations’ Department of Economic and Social Affairs, Less Economically Developed Countries are “low-income countries confronting severe structural impediments to sustainable development, which are vulnerable to economic and environmental shocks and have low levels of human assets,

 

Recognizing that The International Monetary Fund (IMF) is an organization of 190 countries, working to foster global monetary cooperation, secure financial stability,facilitate international trade, promote high employment and sustainable economic growth, and reduce povert around the world,

 

Fully aware that a More Economically Developed Country (MEDC) is a country whose average income is above approximately 15,000 $ per year,

 

Noting further that voluntary fund are amounts given by Member states willingly,

 

Reaffirming that amount a state should pay to United Nations is calculated by a specific course differentiating formula that aims to benefit and help the members states at the same time,

 

Having studied that P5 countries have to pay an extra fund in order to cover the shortfall created by discounts offered to members states at levels C-J,

 

Further recalling a specific formula that places the members states into 10 levels starting from A and finishing at J based on the ability of them to pay their fees and actively provide actual assistance,

 

Deeply concerned that in 2016 and 2017 the peacekeeping costs rose to 7.9 billion,

 

Deeply conscious that more than 50% of the whole UN budget is financed by only five Member States,

 

  1. Approves a new payment control system, which only applies to More Economically Developed Countries (MEDC)’s, to be developed so as to preclude MEDC’s from delaying their United Nations payments to convey a political message or take advantage of the inherent weaknesses of the current system, which will take certain precautions such as, but not limited to:
    1. the MEDC’s will be investigated in the case that they don’t pay at least 85% of their budgets within 15 days after its deadline; however, if MEDC’s GDP has shrank by a certain percentage, the country will be allowed to pay quadruple the percentage less to the UN, excluding, and this payment will have to be reimbursed to the United Nations with a 5% interest compounded annually, and if an MEDC doesn’t pay their share while not having an excuse, they will be suspended from the General Assembly until doing so, and the shortages will be closed by all willing member states and pleading the P5 countries to pay three times the percentage of their GDP increase to UN; however, if an MEDC doesn’t pay their share to implicate political messages, they will have to pay twice the amount of their share to lift their probations, and this surplus money will be allocated to one of the specialized agencies
    2. Emphasizes the importance of a sub-organization called Finance Analysis and Documentation under the supervision of International Monetary Fund which will consist of Member States willing who don’t have outstanding debts to analyze claims of Member States who haven’t paid equal or exceed one year’s worth of contributions to confirm if they are valid or not, according to the analysis it will be decided if the Member State should lose its vote in the General Assembly or not in order to ensure equality;
  2. Expresses its hope for the UN to increase its reserves to ensure that United Nations has a larger buffer against delayed payments from the Member States, and the increased budget would be set by criteria such as but not limited to: if the UN has a liquidity lower than a billion dollars not including the yearly payments of Member States, the yearly payments, the payment requirement for each Member State will be increased by a roof percentage of 10%, and it will be reduced by 1% in the A-J rank which calculates the ability of a country to pay its fees, respectively;
  3. Encourages a new budget allocation system that will be established in order to replace the current budget planning system to a more efficient, lower cost, and more affective one, in which:
    1. if the Secretary General breaches one of the rules, they will be impeached by the Security Council, and they will be removed by 9 votes for and no votes against by any of the permanent members;
    2. a set budget will be determined at the start of each year during the General Assembly, and the budget proposal will be prepared by the Secretary General and the Office of Programme Planning, Budget and Accounts (OPPBA) and this proposal will be shared with the General Assembly members two months before the budget setting session takes place, thereby:
      1. General Assembly members will be able to give amendments to the proposal 
      2. when there is a month left for the assembly on budget setting, Secretary General will share an updated proposal based on the amendment before the assembly and the member states will have time to prepare for arguing this updated resolution
    3. during the assembly:
      1. the member states will be given 2 days to lobby
      2. each member state will be required to have 40 signatories for their amendments to be entertained
      3. 2 more days will be allocated for the amendment entertaining
      4. after that 2 representatives from each of these committees: (OPPBA), Committee for Programme and Coordination (CPC), Advisory Committee on Administrative and Budgetary Questions (ACABQ) will assemble in coordination of the Secretary General to finalize the budget in 2 days;
      5. in the last day of the assembly, the final budget plan will be presented to the General Assembly;
  4. Draws the attention to reduce UN’s costs in the upcoming year so as to ensure the Member States that their financing is used for impactful purposes, and this will be achieved by giving a greater focus on achieving the Sustainability Goals by 2030 as these goals will resolve and/or reduce all the overarching problems of the world;
  5. Recommends an investigation team to be established named (BOI) Bevy for Overseeing Ineffectuality in order to determine unproductive, ineffectual, and law breaching agencies and social enterprises that do not benefit the operations and ideals of the United Nations and to eliminate them to avoid unnecessary spendings, which will:
    1. examine agencies with respect to this criteria:
      1. make annual arbitrary investigations to the UN agencies, UN organizations and social enterprises funded by the UN under cover, to check how these agencies contribute for the communities they serve for
      2. investigate their balance sheets to oversee whether there are unnecessary expenses and incompetent management of resources 
      3. will examine its community impact by making observations with the help of interviews and surveys with the communities that these agencies buttress
      4. they will be ranked out of 10, in which 10 will be the best, 1 will be the worst and the ones who receive a mark below 5 will be reported
    2. recommend closure or crew replacement of the agencies and organizations in the case that they fail the test;
  6. Supports a Peacekeeping Working Capital Fund established by the United Nations, which will be a single funding pool for the peacekeeping operations that will avoid additional costs, reduce cost and secrecy, and will work on a break-even basis, so no-income will be generated nor have debts so that no country will be required to pay more than the set payment and will work in such ways, but not limited to:
    1. fund will be governed by the Secretary General and be run by manager which will:
      1. be elected during a session in the Legal and Finance Committee in which 6 people will be selected from the Legal and Finance Committee, any committee member who has been a member for at least 2 years will be eligible for this position, committee members will select these people by filling a ballot with five choices given, and if  2 of  6 candidates receive the same number of votes, there will be a reelection for only those 2 members
      2. charge Member States on the percentage they contribute the whole UN, and every Member State will be able to receive a pricing information as how the fund will allocate its money
      3. create an efficient operation model by aligning resources with mission requirements,  maintaining close contact with the command centers of peacekeeping operations, and reducing unnecessary costs in the peacekeeping operations
      4. will track and report two main types of operating results: net operating results and accumulated operating results
      5. redirect cash surpluses in one peacekeeping mission to another mission that has a budget deficit; 
    2. if a Member State doesn’t pay their share even if they have adequate resources to do so, in the case that a qualm occurs in their state allocating budget for an operation in that country might be deprioritized
    3. will streamline the payment process of the United Nations which will allow Peacekeeping Fund to bill each Member state for whole year of a peacekeeping mission, whereas currently the UN has to send multiple bills depending on when the SC renews mandates, which causes certain Member States to delay or refuse to pay their shares;
  7. Further draws the attention to cutting the payment requirements of Member States and creating  more impact in the communities by supporting local social enterprises such program rather than solely focusing on support programmes, which will expand ecological focus of United Nations Environment Programme’s (UNEP) SEED program to all the current Sustainable Development Goals and will be done in such ways, but not limited to:
    1. each country’s UN director will create a list of social entrepreneurs, especially the ones in  LEDCs, in their respective countries with the collaboration of organizations such as Ashoka and IDEO and Ministry of External Affairs of each respective country, and Social Enterprises will be asked to sign a contract which will:
      1. plead them to reimburse the financing and inhibit them from participating in this program ever again in the case that they are deemed ineffectual and term breachers by the BOI 
      2. ask them to to entertain practices that do not harm the environment, stay in accord with UN’s value, and to practice anti-corruption in their records to avoid restrict the impact of the organization
    2. UN will fund them in the range of one-thousand to one-million dollars depending on their impact if these organizations are:
      1. keeping capitals and headquarters in the same country 
      2. generating impact in the community
      3. sustainable and don’t harm any of the UN’s SDG goals
      4. in accord with the UN’s values;
  8. Endorses the UN to make online sessions the new norm as the UN assemblies have been adapted to be done in online mediums due to the COVID-19 measures by improving current shortfalls of the online mediums and adapting the structure of the sessions to online settings;
  9. Urges Member States to respect that specific Least Economically Developed Countries (LEDCs) are better suited to maintain domestic civilian wellbeing and affirm the need to alter the required funds given to the UN according to each country’s GDP by:
    1. ensuring that countries with high GDP but low GDP per capita center their efforts on the their people’s quality of living,
    2. encouraging the implementation of personnel to each country for examination of civilian health and availability for basic commodities,
    3. keeping in mind that states with high GDPs should not attempt to collude with officials in the UN by relying on their well-developed economic status,
    4. calling for Member States to aid LEDCs to improve their country’s infrastructure and agricultural capabilities to alleviate the economic toll of the COVID-19 pandemic.