INFORMAL NOTE FOR EXECUTIVE BOARD
Structure and Framework of tables and figures in UNDP Integrated budget estimates for 2014-2017
14 June 2013
1
DP/2013/41
Contents
I.
Strategic context ..................................................................................................................................
II. Financial context………………………………………………………………………………….
III. Programmatic components of the integrated budget ..........................................................................
IV. Institutional components of the integrated budget
Terminology and definitions
Organizational chart
Tables
1. Integrated resources plan ................................................................................................................................
2. Proposed annualized programming financial framework ...............................................................................
3. Comparison of institutional components of integrated budget
4. Summary of main areas of increase/decrease – institutional component ........................................................
5. Government contributions to local office costs income by category of countries ..........................................
6. Government contributions to local office costs waivers by gross national income level ................................
7. Regular resources funded senior posts by location
8. GMS cost recovery income and utilization
Figures
1. Contributions by funding category ...................................................................................................................
2. Estimated use of total resources
Summary tables
1. Comparison of 2012-2013 resources plan with actuals/estimates ....................................................................
2. Integrated resources plan - estimates covering 2014-2017……………………………………
Annexes
1. Results and resources framework ..................................................................................................................
2
Organizational Chart
3
I.
Strategic Context
1.
The present document is an integral complement to the strategic plan, 2014-2017.
The integrated results and resources framework in the Strategic Plan forms the foundation
of UNDP’s integrated budget and sets out the framework for the estimates and proposals
included herein, covering both regular and other resources for 2014-2017. The strategic
plan articulates strategic priorities and results areas, as well as the linkage of resources to
results through the integrated results and resources framework across all harmonized cost
classification categories – development activities (including programme and development
effectiveness activities), UN development coordination activities, management activities,
and special purpose activities. The present document provides more information on the
resources estimates in the integrated results and resources framework.
2.
The presentation follows a budget harmonization exercise within the context of a
“road map to an integrated budget from 2014 onwards” conducted with UNICEF,
UNFPA and UNWOMEN covering a harmonized cost classification framework (decision
2010/32), a harmonized conceptual cost recovery methodology and harmonized cost
recovery rates (decisions 2012/27 and 2013/9). It also fully incorporates the harmonized
results-based budgeting approach approved in decision 2011/10, including: (i) improved
results focus and linkage with the strategic plan; and (ii) harmonized budget tables with
respect to the integrated resource plan (table1); a comparison of planned and
actual/estimated expenditures (summary table 1); and an integrated results and resources
framework (annex 1) aligned with the strategic plan.
3.
For the first time, Executive Board decision will be sought within the framework
of a single integrated presentation, on all regular resources funded budget items - areas
previously legislated through two distinct funding instruments – the institutional budget
and the programming arrangements. This holistic approach acknowledges the synergies
and linkages between development and institutional at country, regional and global
levels, and the associated resource requirements. It recognizes that institutional activities
represent essential strategic enablers for the achievement of development results. This
will in turn better facilitate the process of continuous re-alignment of institutional
capacities required to help programme countries achieve development results within the
remit of the strategic plan.
II.
Financial context
4.
This paper is premised on UNDP’s financial regulations and rules and relevant
executive board decisions. This chapter focuses on the overall financial context, whereas
chapters III and IV discuss programmatic and institutional components, respectively.
5.
Figure 1 provides an overview of actual and estimated contributions, by funding
category, spanning the past and future strategic planning periods (2008-2013 through
2014-2017).
4
Figure 1. Contributions by funding category, 2008-2009 to 2016-2017
in millions of US dollars
7,000
6,253
6,025
6,630
6,000
6,506
5,467
5,000
4,000
3,000
2,112
1,942
2,000
1,812
1,756
1,550
1,850
1,750
1,500
1,500
1,500
1,000
0
2008-2009
2010-2011
2012-2013
(est)
2014-2015
(est)
2016-2017
(est)
Other resources - bilateral and multilateral partners resources
Regular resources
Other resources - government cost-sharing
6.
Figure 2 provides an overview of the proposed use of total gross projected
resources for 2014-2015 – estimated at $11.1 billion – of which 88.7 per cent will be
used for development activities, 1.7 per cent for United Nations development
coordination activities, 8.2 per cent for management activities, and 1.4 per cent for
special purpose activities. Planned development expenditures for 2014-2015 of
88.7 per cent of total planned resources utilization compares favourably to the
88.0 per cent currently estimated for use during 2012-2013. Similarly, planned
management expenditures for 2014-2015 of 8.2 per cent of total planned resources
utilization compares favourably to the 8.6 per cent currently estimated for use during
2012-2013
Figure 2. Estimated use of total resources: 2012-2013 compared to 2014-2015
in millions of US dollars
2012-2013
2.2%
2014-2015
8.6%
1.7%
1.2%
8.2%
1.5%
88.7%
88.0%
$9.5
billion
$9.8
billion
Total: $10.8 billion
Total: $11.1 billion
88.0%
8.6%
Development activities
2.2%
UN development coordination
Management activities
Special purpose activities
1.2%
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DP/2013/41
7.
The integrated resources plan, presented in Table 1, covers both regular and other
resources. It outlines the integrated resources framework of UNDP, and reflects cost
classification categories approved in decision 2010/32. In addition, it contains a separate
column related to cost recovery in line with the harmonized format for the integrated
resources plan. The integrated resources plan reflecting estimates for the period 20142017 is presented in summary table 2 and forms the basis for delivery of the results
contained in the new Strategic Plan 2014-2017
8.
The Strategic Plan 2014-2017 provides the single overarching strategic framework
for UNDP’s activities and as such contains the results and resources framework, which is
turn is directly linked to the Integrated Budget 2014-2017. The detail of this linkage will
be explained in Annex 1 to this document.
9.
Regular resources available for programmatic components of the integrated
resources plan are discussed in chapter III. Proposals and cost implications of the
institutional components of the integrated resources plan within the integrated budget are
presented in chapter IV.
6
Table 1. Integrated resources plan
in millions of US dollars
2012 (actuals) + 2013 (estimates)
Regular resources
Regular
resources
2014-2015 budget estimates
Other resources
Regular (other
income
utilization)
resources a/
Bilateral +
multilateral
partners
resources
Government
cost-sharing
Regular resources
Cost recovery
Regular
resources
Total
resources
Other resources
Regular (other
income
utilization)
resources a/
Bilateral +
multilateral
partners
resources
Government
cost-sharing
Cost
recovery
Total
resources
1. Resources available
-
Opening balance b/
-
Income and adjustments
Contributions
Other, including reimbursements for services to other UN
organizations, and cost recovery c/
-
-
Total 1. Resources available
-
-
-
-
-
-
2. Use of resources
-
-
-
-
-
% of Total
% of Total
I. Development activities
-
I.A - Programme
-
I.B - Development effectiveness
Total - I. Development activities
-
-
-
-
-
-
Total - II. UN Development Coordination activities
-
-
-
-
III. Management activities
III.A - recurring
-
III.B - non-recurring
-
Total - III. Management activities
-
-
-
-
IV. Special purpose activities
IV.A - Capital investments
-
IV.B - Non-UNDP operations administered by UNDP
-
Total - IV. Special Purpose activities
-
-
-
-
Total institutional component
-
Total programming component
Total 2. Use of Resources (I + II + III + IV)
-
-
3. Balance of resources
-
-
-
-
-
a/ Includes government contributions towards local office costs (GLOC), income the United Nations Volunteers programme derives from providing volunteers to the United Nations organizations,
and an accounting linkage to off-set the costs of reimbursing income taxes paid by United Nations staff on their salaries.
b/ Opening balance for 2012/2013 reflects actual amount recorded in the UNDP 2012-2011 Financial Statements. Following the harmonized format for the integrated budget presentation,
cost recovery opening balances are co-mingled with bilateral/multilateral and local resources opening balances accordingly.
c/ Includes interest, miscellaneous income and adjustments related to foreign exchange gain/loss, opening reserve increases/ decreases, and miscellaneous expenditures.
Summary institutional component:
I.C - Development effectiveness
II.B - UN development coordination
III.A - Management recurring
III.B - Management non-recurring
IV. - Special purpose activities
Total:
-
-
-
-
2012-2013 2014-2015
7
-
-
III.
Programmatic components of the integrated budget
10. Table 2 below will show the proposed allocation of regular resources to
programmatic activities at $540 million and $600 million annual levels.
Table 2. Proposed annualized programming financial framework covering 2014-2017
in millions of US dollars
I - Development Activities
Programmes
2014-2015
2016-2017
at $540m base
per year
at $600m base
per year
Country window
TRAC-1
TRAC-2
TRAC-3
Programme of Assistance to the Palestinian
People (PAPP)
Subtotal Country window
-
Regional window
Regional Programme
Global window
Global programmes (includes ODS)
Human Development Report Office (HDRO)
Subtotal Global Window
-
Subtotal - Programmes
II - Development Effectiveness
South-South cooperation programme
Development support services (DSS)
Economists' programme
Gender mainstreaming
Policy advisory services
United Nations Capital Development Fund
Subtotal - Development Effectiveness
-
Subtotal - Development
II - UN Development Coordination
Support to the RC
Grand total (I + II)
IV.
Institutional components of the integrated budget
Table 3. Comparison of the institutional components of the integrated budget,
2012-2013 approved, 2014-2015 estimates and 2016-2017 notional estimates
in millions of US dollars
Summary institutional components:
I.C - Development effectiveness
II.B - UN development coordination
III.A - Management recurring
III.B - Management non-recurring
IV. - Special purpose activities
Total:
2012-2013
approved
budget
2014-2015
budget
estimates
2016-2017
notional
estimates
8
Table 4. Summary of main areas of increase/decrease- institutional
component of the integrated budget
in millions of US dollars
Total:
I.
2012-2013 net approved institutional budget appropriations
II.
Cost increases (non-discretionary)
% of 2012-2013
approved gross
appropriation
Estimated inflation on staff entitlements and operating costs
Estimated increase of United Nations common system salary scale revisions
Estimated impact of currency adjustments
Total cost increases
III. a. Exercising budgetary discipline (volume decreases)
Alignment with projected voluntary contribution levels
Net changes due to implementation of decision 2013/9 on cost recovery
Reductions due to completion of one-time investments
Total volume decreases
b. Investing in the organization (volume increases)
Management activities - non-recurring
Implementing the change agenda
Total volume increases
Net volume decreases (III.a + III.b)
IV.
Net institutional budget reductions (II + III)
V.
2014-2015 net appropriation estimates (I + IV)
VI.
Estimated income to the institutional budget
VII.
2014-2015 gross appropriation estimates (V. + VI.)
A. Cost increases
11. The estimated cost increases and decreases proposed in table 4 are described in
this section.
B. Volume changes
12. The volume reductions in the institutional component of the integrated budget are
described in this section.
C. Estimated income to the budget
13. The total estimated income to the institutional component of the integrated budget
is described in this section.
D. Government contributions towards local office costs (GLOC)
14. Table 5 shows 2012 GLOC from direct cash payments, accounting linkage with
voluntary contributions, and in-kind contributions broken down by the income category
of programme countries and described in details in this section. Table 6 presents GLOC
waiver percentages.
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DP/2013/41
Table 5. Government contributions to local office costs income by category of countries, 2012
(in millions of US dollars)
GLOC
obligations,
including inkind
contributions
Income category
Income received
Cash and
accounting
linkage
In-kind
contributions
Total income
received
Percentage
received against
obligation
Low-income countries
Middle-income countries
Net contributor countries
Total
Table 6. Government contributions to local office costs waivers
based on 2008-2011 average GNI per capita
Programme
Country
Waiver
Percentage
Based on 2008-2011
average GNI per capita
(in US dollars)
Income category of
programme country
Table 7 – Regular resources senior posts, by location
Change (increase/ decrease/
reclassifications
2012-2013 approved posts
ADM,
USG, ASG
D2
D1
Total
ADM,
USG,
ASG
D2
D1
Total
2014-2015 proposed posts
ADM,
USG, ASG
D2
D1
Total
1. Management
Country and regional offices
Headquarters
Subtotal:
2. Development effectiveness
Country and regional offices
Headquarters
Subtotal:
3. UN development coordination
Country and regional offices
Headquarters
Subtotal:
4. Special purpose
Country and regional offices
Headquarters
Subtotal:
Grand Total:
15. Table 7 above presents regular resources funded senior positions by location.
16. Table 8 below presents cost recovery income and utilization related to cost
recovery on bilateral and multilateral resources, cost recovery on local resources and
other cost recovery related resources, in a harmonized format with UNICEF, UNFPA and
UNWOMEN.
10
Table 8 – Cost recovery income and utilization,
in millions of US dollars
2012 (actuals) + 2013 (estimates)
GMS - cost
recovery on
bilateral/
multilateral
partners
resources
GMS - cost
recovery on
government
cost-sharing
Other
recovery
related
resources
2014-2015 budget estimates
Total
resources
GMS - cost
recovery on
bilateral/
multilateral
partners
resources
GMS - cost
recovery on
government
cost-sharing
-
-
Other
recovery
related
resources
Total
resources
1. Resources available
Income, including reimbursements for services to other UN
organizations, and cost recovery c/
-
-
-
2. Use of resources
I. Development activities
I.A - Programmes
1.B - Development effectiveness
-
-
-
-
-
-
-
-
Total - I. Development activities
-
-
-
-
-
-
-
-
Total - II. UN Development Coordination activities
-
-
-
-
-
-
-
-
III. Management activities
III.A - recurring
III.B - non-recurring
Total - III. Management activities
-
-
-
-
-
-
-
-
-
-
-
IV. Special purpose activities
IV.A - Capital investments
IV.B - Non-UNDP operations administered by UNDP
Total - IV. Special Purpose activities
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
II. UN Development Coordination activities
Total 2. Use of Resources (I + II + III + IV)
G. United Nations Development Coordination activities
17. A discussion is included on UNDP’s continued strong support for stewardship of
UN coordination activities.
H. Special purpose activities
18. Special purpose activities, including non-UNDP operations administered by
UNDP and capital investments, are proposed to be $xx million for the 2014-2017 period,
comprised of $xx million in regular resources, plus $xx million in other resources. NonUNDP operations administered by UNDP include UN Volunteers (UNV) and UN Capital
Development Fund (UNCDF).
11
Summary table 1 –Comparison of 2012-2013 resources plan with actuals/estimates
in millions of US dollars
12
Summary table 2 – Integrated resources plan – estimates covering 2014-2017
in millions of US dollars
13
DP/2013/41
Annex 1 – linkage of resources to results
(From draft strategic plan DP/2013/12, Annex 2)
14