United nations system funding: congressional issues.(Congressional Research Service)(Report)

 Contents  Most Recent Developments Current Funding Information    Introduction    U.N. System Financing: Brief Overview       Assessed Contributions       Voluntary Contributions Current U.S. Funding    FY2010 Funding       Summary       Assessed Contributions       Voluntary Contributions       Peacekeeping Accounts    FY2009 Funding       Summary       Assessed Contributions       Voluntary Contributions       Peacekeeping Accounts       Combined Discussion--Continuing Appropriations       Supplemental Appropriations Act, 2008 (and FY2009 Bridge        Funding)       Supplemental Appropriations Act, 2009    FY2008 Funding       Status       Assessed Contributions       Voluntary Contributions       Peacekeeping Accounts       FY2007 Emergency Supplemental    FY2007 Funding       Assessed Contributions       Voluntary Contributions       Peacekeeping Accounts    FY2006 Funding       Assessed Contributions       Voluntary Contributions       U.N. Peacekeeping Accounts Tables on U.S. Contributions: FY2004-FY2009 and FY2010 Request Other Basic Information    Scale of Assessments    Arrearages    Funding the U.N. War Crimes Tribunals    The United Nations Capital Master Plan       Initial Solution       Final Approved Solutions       Design, Planning, and Pre-construction Funding       U.S. Contributions to the CMP and Congress       Problems and Issues Congress and Funding the U.N. System    U.S. Withholding    Contributions Reporting Requirement    United Nations Reform       Kassebaum-Solomon Provisions       Office of Internal Oversight Services       The Helms-Biden Agreement and Payment of Arrears       Task Force on the United Nations       Congress and U.N. Reform: 2005-2006       Reform Initiatives in the United Nations Appendixes  Appendix A. Chronology of Major Actions in Calendar Years 2008 and  2009 Relating to U.S. Funding for the U.N. System Appendix B. Congress and Funding the U.N. System: FY2004-FY2005 Appendix C. The United Nations System: An Organizational Chart 

December 4, 2009

Summary

The congressional debate over United Nations funding focuses on several questions, including (1) What is the appropriate level of U.S. funding for U.N. system operations and programs? (2) What U.S. funding actions are most likely to produce a positive continuation of U.N. system reform efforts?

The U.N. system includes the United Nations, a number of specialized or affiliated agencies, voluntary and special funds and programs, and U.N. peacekeeping operations. Participating states finance the system with assessed contributions to the budgets of the United Nations and its specialized agencies. In addition, voluntary contributions are made both to those agencies and to the special programs and funds they set up and manage. For more than 60 years, the United States has been the single largest financial contributor to the U.N. system, supplying in recent years 22% of most U.N. agency budgets. (See Appendix C for an organizational chart that illustrates the components of the U.N. system.)

Both Congress and the executive branch have sought to promote their policy goals and reform of the United Nations and its system of organizations and programs, especially to improve management and budgeting practices. In the 1990s, Congress linked payment of U.S. financial contributions and its arrears to reform.

This report, which will be updated, tracks the process by which Congress provides the funding for U.S. assessed contributions to the regular budgets of the United Nations, its agencies, and U.N. peacekeeping operation accounts, as well for U.S. voluntary contributions to U.N. system programs and funds. It includes information on the President's request and the congressional response, as well as congressional initiatives during this legislative process. Basic information is provided to help the reader understand this process.

This report replaces CRS Issue Brief IB86116, United Nations System Funding: Congressional Issues, by Marjorie Ann Browne and Vita Bite.

Most Recent Developments

On May 7, 2009, President Barack Obama requested $1,529,400,000 for the Contributions to International Organizations (CIO) account, Department of State, including $452,560,000 for the United Nations regular budget and $1,497,000,000 for the Contributions to International Peacekeeping Activities (CIPA) account, Department of State. The request also included $356,550,000 for the International Organizations and Programs (IO&P) account, Foreign Operations, which includes voluntary contributions to several U.N. system programs. He requested, through the Nonproliferation, Anti-terrorism, Demining, and Related Programs (NADR) account, $65 million for U.S. voluntary contributions to the International Atomic Energy Agency (IAEA).

On June 26, 2009, the House Committee on Appropriations reported H.R. 3081, the Department of State, Foreign Operations and Related Appropriations Act, 2010, recommending $1,697,000,000 for the CIO account; $395,091,000 for the IO&P account; $65,000,000 for IAEA in the NADR account; and $2,125,000,000 for the CIPA account. The House passed H.R. 3081 on July 9, 2009. On that same day, the Senate Committee on Appropriations reported S. 1434, the Department of State, Foreign Operations and Related Appropriations Act, 2010, recommending $1,697,000,000 for the CIO account; $393,000,000 for the IO&P account; $65,000,000 for IAEA in the NADR account; and $2,125,000,000 for the CIPA account.

On October 1, 2009, the President signed into law a continuing resolution within the Legislative Branch FY2010 appropriations bill (H.R. 2918/P.L. 111-68) that provided funding through October 31, 2009, for those agencies for which an appropriations bill had not been enacted. On October 30, 2009, a second continuing resolution, in the Interior FY2010 appropriations bill (H.R. 2996/P.L. 111-88), was signed, continuing funding for the State Department and Foreign Operations agencies and programs, among others, through December 18, 2009.

Current Funding Information

Introduction

The United States has been, and remains, the single largest financial contributor to the United Nations (U.N.) system. For calendar year (CY) 2007, U.S. contributions to the U.N. system totaled just over $4.8 billion. (1) This included more than $895,982,000 in assessed contributions to the regular budgets of the United Nations and its specialized agencies and $96,414,194 in assessed contributions to the two war crimes tribunals. (2) In CY2007, the United States contributed $1,266,129,767 in assessed contributions to U.N. peacekeeping operations. Finally, U.S. voluntary contributions to U.N. system special programs and funds totaled $2,560,429,000. In recent years, however, Congress has been pressing to reduce U.S. funding for many U.N. system programs. Congressional debate over U.N. funding has focused on several questions: (1) What is the appropriate level of U.S. funding for U.N. system operations and programs? (2) What U.S. funding actions are most likely to produce a positive continuation of U.N. system reform efforts? and (3) How should the United States address its accumulated arrearages?

This report tracks the process by which Congress provides the funding for U.S. assessed contributions to the regular budgets of the United Nations, its agencies, and U.N. peacekeeping operation accounts as well for U.S. voluntary contributions to U.N. system programs and funds. It includes information on the President's request and the congressional response as well as congressional initiatives during this legislative process. Basic information is provided to help the reader understand this process.

U.N. System Financing: Brief Overview

The United Nations (U.N.) system is made up of variously interconnected components including specialized agencies, voluntary funds and programs, peacekeeping operations, and the U.N. organization itself. (3) The system is financed by contributions from member and/or participant states. The contributions are usually made in two ways: assessed contributions--required "dues" at percentages established by the membership of each organization involved--and voluntary contributions, which represent more than half of the total aggregated funds received by the U.N. system.

Assessed Contributions

Assessed contributions finance the regular budgets of the United Nations, the specialized agencies, and the International Atomic Energy Agency (IAEA). Payment of the assessed contribution is one of the legal obligations accepted by a country when it joins the organization. In this way, the organization has a regular source of income for staffing and implementation of authorized programs. Most U.N. peacekeeping operations are funded through special assessed accounts.

U.S. assessed contributions are funded from the State Department's budget. Congress authorizes these funds as part of the Foreign Relations Authorization Act and currently appropriates the money in the Department of State, Foreign Operations, and Related Programs appropriations legislation. (4) The regular assessed budgets of U.N. system organizations as well as regional and other non-U.N. intergovernmental organizations are included in the Contributions to International Organizations (CIO) account, while assessed peacekeeping contributions are funded in the Contributions to International Peacekeeping Activities (CIPA) account.

Voluntary Contributions

Voluntary contributions finance special programs and offices created by the U.N. system, such as the United Nations Development Program (UNDP), the United Nations Environment Program (UNEP), the United Nations Children's Fund (UNICEF), and the U.N. Democracy Fund (UNDEF). Payment of these contributions is entirely up to each individual country; no country is legally obliged to contribute to these programs.

U.S. voluntary contributions are financed through the foreign assistance authorization and appropriation legislation, primarily through the International Organizations and Programs (IO&P) account of what was formerly the Foreign Operations Act. (5) This IO&P account does not fund U.S. voluntary contributions to the U.N. High Commissioner for Refugees (UNHCR), the U.N. Relief and Works Agency for Refugees in the Near East (UNRWA), the U.N. Narcotics Control Fund, or the International Atomic Energy Agency (IAEA).

Current U.S. Funding

FY2010 Funding

Summary

On May 7, 2009, President Barack Obama transmitted to Congress the FY2010 budget. This included $1,797,000,000 to finance U.S. assessed contributions in the Contributions to International Organizations (CIO) account and $2,260,000,000 to finance U.S. assessed contributions in the Contributions to International Peacekeeping Activities (CIPA) account. It also included $356,550,000 to fund U.S. voluntary contributions in the International Organizations and Programs (IO&P) account and $65,000,000 in the Nonproliferation, Anti-terrorism, Demining, and Related Programs (NADR) account to finance U.S. voluntary contributions to the International Atomic Energy Agency (IAEA).

On June 26, 2009, the House Committee on Appropriations reported H.R. 3081, the Department of State, Foreign Operations and Related Appropriations Act, 2010, recommending $1,697,000,000 for the CIO account; $395,091,000 for the IO&P account; $65,000,000 for IAEA in the NADR account; and $2,125,000,000 for the CIPA account. (6) The House passed H.R. 3081 on July 9, 2009. On that same day, the Senate Committee on Appropriations reported S. 1434, the Department of State, Foreign Operations and Related Appropriations Act, 2010, recommending $1,697,000,000 for the CIO account; $393,000,000 for the IO&P account; $65,000,000 for IAEA in the NADR account; and $2,125,000,000 for the CIPA account. (7)

On October 1, 2009, the President signed into law a continuing resolution within the Legislative Branch FY2010 appropriations bill (H.R. 2918/P.L. 111-68) that provided funding through October 31, 2009, for those agencies for which an appropriations bill had not be enacted. On October 30, 2009, a second resolution, in the Interior FY2010 appropriations bill (H.R. 2996/P.L. 111-88) was signed, continuing funding for the State Department and Foreign Operations agencies and programs, among others, through December 18, 2009. (See Appendix A for a chronology of major actions in 2008 and 2009 relating to U.S. fund for the U.N. system.) (8)

Assessed Contributions

On May 7, 2009, President Obama requested $1,797,000,000 for payment of U.S. assessed contributions (CIO account) to the 45 international (including regional) intergovernmental organizations to which the United States belongs. The CIO account request included the following amounts for the United Nations:

* United Nations regular budget: $597,542,000

* U.N. Capital Master Plan (CMP): $75,535,000

* U.N. War Crimes Tribunal--Yugoslavia: $22,255,000

* U.N. War Crimes Tribunal--Rwanda: $18,624,000

The aggregated total for this category is $713,956,000. The amount requested for U.S. assessed contributions to the regular budgets of 11 other separate U.N. system specialized agencies was $519,998,000. The CIO account included, under Other International Organizations, proposed U.S. contributions to the International Seabed Authority (ISA) and the International Tribunal on the Law of the Sea (ITLOS), two bodies created by the U.N. Convention on the Law of the Sea that the United States is not a party to. (9)

On June 26, 2009, the House Appropriations Committee reported H.R. 3081, the Department of State, Foreign Operations and Related Appropriations Act, 2010, recommending $1,697,000,000 for the CIO account, which is $100,000,000 less than the President's request. The committee provided $75,049,000 for synchronization of deferred payments and requested that the State Department provide a report not later than 45 days after enactment on the status of deferred payments for each organization funded in the CIO account. The committee "encouraged" the Department to allocate funding provided for synchronization to "organizations whose missions are critical to protecting United States national security interests, including NATO, the Organization for the Prohibition of Chemical Weapons, the IAEA, and PAHO [Pan American Health Organization]." (10)

The committee "continues to insist on reform and budget discipline as a priority for all of the international organizations for which the United States is a participant," and "directs the Department to refrain from entering into new commitments without a commensurate increase in resources." On United Nations reform, the committee "continues to encourage the Department of State and the United States Mission to the UN to keep all aspects of UN reform high on the agenda.... The Committee strongly encourages continued support for an independent OIOS [Office of Internal Oversight Services] to improve internal controls, efficiency and effectiveness of the UN." (11) The committee also expressed its concern "that the representation of Americans in UN posts, in relation to geographic distribution, has remained relatively flat since 2001." (12) The House passed H.R. 3081 on July 9, 2009.

On July 9, 2009, the Senate Appropriations Committee reported S. 1434, the Department of State, Foreign Operations and Related Appropriations Act, 2010, recommending $1,697,000,000 for the CIO account, $100,000,000 below the President's request. The committee noted that while it did not provide full funding, it supported the goal of synchronization, "particularly for organizations that are important to U.S. security interests, such as NATO, the IAEA, and the OPCW." (13)

Voluntary Contributions

For FY2010, the President requested $356,550,000 for the International Organizations and Programs Account (IO&P), to fund U.S. voluntary contributions to U.N. system programs and those of other organizations. This request included $128,000,000 for UNICEF and $75,300,000 for the U.N. Development Program (UNDP). He also requested, through the Nonproliferation, Anti-terrorism, Demining, and Related Programs (NADR) account of the Department of State, Foreign Operations and Related Programs appropriations, $65 million for U.S. voluntary contributions to the International Atomic Energy Agency (IAEA).

On June 26, 2009, the House Appropriations Committee, in reporting H.R. 3081, recommended $395,091,000 for the IO&P account, an increase of $38,541,000 over the FY2010 request of $356,550,000. The increase included $132,000,000 for UNICEF and $100,000,000 for UNDP, $24,700,000 over the President's request for UNDP. The committee recommended IAEA voluntary contributions in the NADR account at the requested level. On July 9, 2009, the House passed H.R. 3081.

On July 9, 2009, the Senate Appropriations Committee reported S. 1434, the Department of State, Foreign Operations and Related Appropriations Act, 2010, recommending $393,000,000 for the IO&P account. This was $36,450,000 over the President's request. The committee included $132,500,000 for U.S. contributions to UNICEF and $101,000,000 for U.S. contributions to UNDP. The committee recommended $65,000,000 as requested for U.S. voluntary contributions to the IAEA, through the NADR account. (14)

Peacekeeping Accounts

On May 7, 2009, the President requested for FY2010, $2,260,000,000 to pay U.S. assessed contributions to U.N. peacekeeping operations, in the State Department's Contributions to International Peacekeeping Activities (CIPA) account. This request included $46,233,000 for the two international war crimes tribunals (Yugoslavia and Rwanda) that are not peacekeeping operations. It also included $135,100,000 for U.S. assessed contributions to a special assessed account created by the U.N. General Assembly to support the African Union Mission in Somalia (AMISOM). (15)

On June 26, 2009, the House Appropriations Committee recommended $2,125,000,000 for the CIPA account; this was $135,000,000 lower than the request. The committee decided that most of the funds requested for the U.S. assessment to the U.N. logistical support package for Somalia ($135,000,000 of the requested $135,100,000) be funded from the PKO account, used normally for voluntary contributions. (16) The committee provided $102,000,000 in the PKO account for assistance for Somalia, including $55,000,000 to be used to pay assessed expenses. (17) The committee urged the Department to "give priority funding consideration" for the U.N. peacekeeping operations in the Central African Republic and Chad (UNMURCAT) and the Congo (MONUC) "during allocation of resources." (18) The committee directed the State Department "to provide the necessary support to ensure that OIOS [U.N. Office of Internal Oversight Services] oversight is systemically brought to bear on every UN peacekeeping mission, including through the presence of resident auditors. The committee directs the Department of State to request a performance report on the efforts of this Office to root out the causes of "waste, fraud, and abuse." (19) In addition, the committee stresses "that the UN needs to press troop contributing countries to seek justice" against those U.N. peacekeepers found to commit trafficking in persons and illegal sexual exploitation. (20) Finally, on the issue of the 25% cap on peacekeeping assessments, the committee included a provision adjusting the level of U.S. assessments for peacekeeping during calendar year 2010 from 25.0% to 27.1%. The committee did not include the request increase for calendar year 2011, instead encouraging the Department to "negotiate a lower assessment." 21 The House passed H.R. 3081 on July 9, 2009.

On July 9, 2009, the Senate Appropriations Committee reported S. 1434, Department of State, Foreign Operations and Related Appropriations Act, 2010, recommending $2,125,000,000 for the CIPA account. This was $135,000,000 below the President's request. The committee moved the funding requested for the logistics support package for Somalia, "with modifications" to the PKO account. (22) The committee, in the PKO account, recommended up to $102,000,000 for peacekeeping activities in Somalia, "of which up to $55,000,000 is for United Nations assessed costs." (23)

FY2009 Funding

Summary

On March 11, 2009, President Obama signed H.R. 1105, the Omnibus Appropriations Act, 2009 (P.L. 111-8). Division H of the Act was the Department of State, Foreign Operations, and Related Programs Appropriations Act and included funding for U.S. contributions to the U.N. system in the CIO, CIPA, IO&P, and NADR accounts. CIO account funding totaled $1,529,400,000, in addition to the $75,000,000 appropriated for FY2009 in P.L. 110-252. CIPA account funding totaled $1,517,000,000, in addition to the $150,500,000 appropriated for FY2009 in P.L. 110-252. Funding for the IO&P account totaled $352,500,000. A table in the joint explanatory statement provides a program breakdown of the allocations. (24) (See Appendix A for a chronology of major actions in 2008 and 2009 relating to U.S. funding for the U.N. system.) (25)

Assessed Contributions

On February 4, 2008, President Bush requested $1,529,400,000 for payment of U.S. assessed contributions (CIO account) to the 45 international (including regional) intergovernmental organizations to which the United States belongs. The CIO account request for FY2009 included the following amounts for the United Nations:

* United Nations regular budget: $452,500,000

* U.N. Capital Master Plan (CMP): $75,535,000

* U.N. War Crimes Tribunal--Yugoslavia: $21,571,000

* U.N. War Crimes Tribunal--Rwanda: $14,967,000

The aggregated total for this category was $564,573,000. The amount requested for U.S. assessed contributions to the regular budgets of 11 other separate U.N. system specialized agencies was $522,517,000. On May 2, 2008, President Bush requested, in an amendment to the FY2009 budget, an additional amount of $40,000,000 for the CIO account, to fund U.S. contributions for the costs of the U.N. Assistance Mission in Afghanistan (UNAMA) [$10,000,000] and the U.N. Assistance Mission in Iraq (UNAMI) [$30,000,000], both of which are special political missions financed from the U.N. regular budget.

On July 18, 2008, the Senate Appropriations Committee reported S. 3288, the Department of State, Foreign Operations, and Related Programs Appropriations Bill, 2009. (26) The committee recommended the appropriation of $1,529,400,000 for the CIO account, as requested by President Bush, and in addition to the $75,000,000 already appropriated in P.L. 110-252, in Bridge Funding for FY2009. (27) The committee "directs OMB to request sufficient funds to pay annual U.S. assessed dues and any accumulated arrears to international organizations and encourages the Department of State to evaluate the benefit of U.S. membership on an annual basis." (28)

On March 11, 2009, President Obama signed H.R. 1105, the Omnibus Appropriations Act, 2009 (P.L. 111-8), Division H of which was the Department of State, Foreign Operations, and Related Programs Appropriations Act and included funding for U.S. contributions to the U.N. system in the CIO account. CIO account funding totaled $1,529,400,000, in addition to the $75,000,000 appropriated for FY2009 in P.L. 110-252. (29) Section 7052, on the U.N. Human Rights Council, provided that "none of the funds may be made available for a U.S. contribution to the U.N. Human Rights Council." This restriction shall not apply if (1) the Secretary of State certifies that the provision of funds is in the interests of the United States, or (2) the United States is a member of the Human Rights …