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October 5, 2007

 
 
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USUN PRESS RELEASE #   229(07)
October 5, 2007

FOR IMMEDIATE RELEASE 
Office of Press and Public Diplomacy 
United States Mission to the United Nations 
140 East 45th Street 
New York, N.Y. 10017


Statement by Ambassador Mark D. Wallace, U.S. Representative to UN Management and Reform, at the Opening Session of the Fifth Committee 62nd UN General Assembly, October 5, 2007 

Thank you, Mr. Chairman. 
The United States joins other members in conveying our congratulations and warm welcome to you as our new incoming Fifth Committee chairman. We also congratulate and welcome the other new members of the Bureau for the 62 nd Session. 
We are about to embark on a Fifth Committee Session that will take this Committee through challenging discussions and at times tough decisions concerning the work of the United Nations for the next two years. Our collective task in the weeks and months ahead will be to determine the appropriate level of resources needed to support the activities performed by this Organization for the benefit of people around the world. We must ensure that the programs on which millions depend are adequately financed. At the same time, given the substantial increase proposed for the 2008-2009 biennium budget, we must ensure that our decisions are fiscally responsible and that the resources provided by Member States are used in an effective and efficient manner for the good of those who benefit from UN programs. Even putting aside for a moment the resources that likely will be required to implement major reforms that we already have or will be adopting, this proposed biennium budget totals well over 4 billion dollars. It is imperative that we manage the UN’s resources wisely. Good management is in everyone’s best interests. Poor management serves no one. Member States should reasonably expect the Organization to use the resources we provide as efficiently as possible in carrying out mandates.
As a sign of good management, we should aim for zero growth in the budget at all times, and especially in times of limited resources. We must realistically seek to control growth in the budget while ensuring that there are sufficient funds to meet the mandates authorized by Member States. In the last 100 years no institution has survived effectively without introspectively seeking to prioritize expenditures and reprogramming budgets to cut back on redundant or less relevant programs and redirecting resources to new challenges and priorities. In fact the future of this institution depends on such sound management and governance.
The United States continues to believe that the value of this Organization and the work that it performs depend on our ongoing efforts to make the UN a more efficient, effective, transparent and accountable institution. During the past two years, we have collectively achieved some progress. But we must accomplish more.
As we consider the significant financial requirements needed to sustain the work of this Organization, we also should be discussing the modification or elimination of current mandates that are duplicative, redundant, or no longer relevant. That process, called for by world leaders during the September 2005 Summit, has not happened and there is not a viable current path for real mandate review. The purpose of that review was to strengthen the program of work of the Organization and to ensure that the resources provided by Member States are allocated efficiently and effectively to maximize their benefit. While we continue to believe that mandate review is important, we should not proceed unless we have identified a process that can achieve real and tangible results. Merely continuing consultations among Member States on mandate review during the 62 nd Session without a viable framework for producing a significant impact on the work of the Organization as anticipated by world leaders is not the answer.
In September 2005, world leaders sought to ensure ethical conduct, more extensive financial disclosure for United Nations officials, and enhanced protection for those who reveal wrongdoing within the Organization. We urge Secretary-General Ban to ensure that these and other reforms outlined in the World Summit Outcome Document are fully implemented, especially finalizing a system-wide code of ethics and applying the authority of the Ethics Office and the policies it oversees throughout the Organization, including the Funds and Programmes. In addition, we strongly urge all senior UN officials to follow the examples of the Secretary-General and the Deputy Secretary-General by making public their financial disclosure statements. In fact, the credibility of those organizations is at stake – they must adopt these same high standards of institutional and personal ethics, transparency and accountability.
In the area of oversight, we now have an Independent Audit Advisory Committee, whose members will be selected in early November. That Committee will advise the General Assembly on the scope, results and effectiveness of existing internal oversight mechanisms and offer recommendations on how such oversight functions can be strengthened. We must guarantee the operational independence of the UN Office of Internal Oversight Services (OIOS) so that OIOS has sufficient resources to perform its core functions – audit, monitoring and evaluation, inspection, and investigations - free from any real or perceived influence by the very bodies or officials it is intended to oversee. 
We also believe that it is essential that the UN adopt and adhere to a formal internal control framework to strengthen accountability and transparency and to ensure that financial resources are appropriately safeguarded against waste and loss. Similarly, we must define an accountability framework and achieve results-based management. In this regard, we strongly encourage the Secretariat to expedite completion of the relevant reports on these issues so that this Committee can take a number of long-overdue decisions concerning how best to manage risk in the Organization.
We cannot maximize the use of available resources in the absence of further improvements in UN procurement. In resolution 61/264, the General Assembly concluded that “procurement reform is an ongoing process and should focus, inter alia, on ensuring the efficiency, transparency and cost-effectiveness of United Nations procurement as well as strengthened internal controls.” We note that Member States took important first steps by providing additional resources for staff training and calling for an Independent Bid Protest System. These were welcome developments. However, further changes are needed to ensure the rapid delivery of critical services and supplies in a cost-effective manner. The Secretary-General’s forthcoming reports should help to guide our collective efforts to improve the management and organizational structure of UN procurement, and to clarify the relationship between headquarters and peacekeeping procurement.
Much still remains to be accomplished if we are to fulfill the vision of world leaders by making this Organization more efficient, accountable and transparent. Another area that demands our close attention is putting into place a complete overhaul of the existing system for administering justice for UN personnel. We made substantial progress on this matter during the 61 st General Assembly session. However, many difficult details remain outstanding. Given that resolving the details is a very large and complicated undertaking that will have implications for the Organization and its staff for decades to come, we must proceed cautiously and judiciously. 
We also cannot neglect improvements still required in human resources management. Important decisions must be made to regularize contracts and conditions of service, as well as training and staff mobility. Otherwise, this Organization will continue to face difficulties recruiting and retaining competent and well-qualified personnel who are capable of sustaining the UN’s work.
Finally, I again underscore the ongoing importance for the Organization of having a realistic assessment of key outputs and activities. This analysis should be aimed at determining which outputs and activities are considered obsolete, of marginal usefulness, or ineffective. It remains imperative that the Organization’s limited resources be used efficiently and effectively and that they be targeted on high-priority programs that produce results. 
We have an ambitious agenda ahead of us. We look forward to working constructively with you, Mr. Chairman, with other members of the Bureau, with the Secretariat, and, most importantly, with our fellow Committee members, to reach consensus on a 2008-2009 biennium budget and to improve the overall functioning and effectiveness of the Organization.
Thank you, Mr. Chairman.
                     
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