Order Code IB86116
Issue Brief for Congress
Received through the CRS Web
U.N. System Funding: Congressional Issues
Updated August 15, 2002
Vita Bite
Foreign Affairs, Defense, and Trade Division
Congressional Research Service ˜ The Library of Congress

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CONTENTS
SUMMARY
MOST RECENT DEVELOPMENTS
BACKGROUND AND ANALYSIS
U.N. System Financing
U.N. Assessed Budgets
Scale of Assessments
U.N. Reform
U.S. Role in U.N. Reform
U.N. Reform Efforts
U.S. Withholding
Arrearages
U.N. Arrears in Recent Legislation
FY2003 Funding for U.N. Assessed Budgets
FY2002 Funding for U.N. Assessed Budgets
Appropriations
Authorizations
FY2001 Funding for U.N. Assessed Budgets
U.N. Voluntary Programs
FY2003
FY2002
FY2001
Issues
U.N. Peacekeeping Operations
FY2003
FY2002
FY2001
LEGISLATION
CONGRESSIONAL HEARINGS, REPORTS, AND DOCUMENTS
FOR ADDITIONAL READING
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U.N. System Funding: Congressional Issues
SUMMARY
Congressional debate over U.N. funding
The Administration also requested $310.4
focuses on the following questions: (1) What
million for voluntary contributions through
is the appropriate level of U.S. funding for
the international organizations and programs
U.N. system operations and programs? (2)
account. In addition, $50 million for volun-
What U.S. funding actions are most likely to
tary IAEA programs and $15 million for the
produce a positive continuation of U.N. sys-
International Fund for Agricultural
tem reform efforts? (3) How should the Unit-
Development (IFAD) was requested in other
ed States address its accumulated arrearages?
accounts.
The U.N. system includes the parent
Appropriations for U.S. assessed contri-
U.N. organization, a number of affiliated
butions for FY2002 for international regular
agencies, voluntary funds and programs, and
budgets and for assessed U.N. peacekeeping
peacekeeping operations. Participating states
operations were included in P.L. 107-77 (H.R.
finance the system with voluntary and as-
2500). The measure included $850 million for
sessed contributions. For more than 50 years,
regular budgets and $844.139 million for
the United States has been the single largest
peacekeeping. In addition, P.L. 107-115 (H.R.
financial contributor to the U.N. system.
2506) included $208.5 million for voluntary
contributions to the international organiza-
Both Congress and the executive branch
tions and programs account. An additional
have been pressing U.N. system organizations
$120 million for UNICEF, $53 million for the
to reform, especially to improve management
Global Alliance for Vaccines and Immuniza-
and budgeting practices. Indeed, Congress has
tions (GAVI),$20 million for (IFAD), and a
linked payment of U.S. financial arrears to
contribution for voluntary IAEA programs
U.N. reforms. In recent years the United
were provided in other accounts.
Nations have been undertaking many reforms
including a restructuring of its financial
P.L. 106-113, enacted in 1999, autho-
assessment system, allowing the United States
rized payment of a total $819 million for
to begin paying some of its arrears.
arrears to international organizations ($100
million for FY1998, $475 million for FY1999,
The Bush Administration requested
and $244 million for FY2000) and authorized
$891.378 million for FY2003 for U.S.
application of the $107 million to U.S. arrears.
assessed contributions to international
Arrears payments were subject to certifica-
organizations (including $279.327 million for
tions that certain conditions had been met
the U.N. regular budget) and $725.981 million
(popularly known as the Helms-Biden agree-
for assessed U.N. peacekeeping operations.
ment). Thus far, $682 million has been
credited toward U.S. arrears.
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MOST RECENT DEVELOPMENTS
On July 24, 2002, the Senate Committee on Appropriations reported S. 2778 (S.Rept.
107-218, on appropriations for FY2003 for Commerce, Justice, State) including $850 million
for U.S. assessed contributions to the international organizations account and $666.8
million for contributions to international peacekeeping activities account. On the same day
the Committee also reported S. 2779 (S.Rept. 107-219, on appropriations for FY2003 for
Foreign Operations) including $230.486 million for U.S. voluntary contributions to the
international organizations and programs account of which $50 million is for the U.N.
Population Fund (UNFPA). $120 million for UNICEF is included in the Child Survival
account.
Conference report (H.Rept. 107-593) on H.R. 4775 making supplemental
appropriations for FY2002 included an additional $7 million for U.S. assessed payments for
the contributions to international organizations account and an additional $23. 034 million
for assessed payments to the contributions to international peacekeeping activities account.
On July 22, the Bush Administration announced that $34 million which had been
appropriated for U.S. contributions to the U.N. Population Fund (UNFPA) would not go to
that organization, but be applied to the Child Survival and Health Program.
BACKGROUND AND ANALYSIS
The United States has been, and remains, the single largest contributor to the U.N.
system. 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 is focused on the
following 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? 3) How should the United States address its
accumulated arrearages?
U.N. System Financing
The United Nations (U.N.) system is made up of variously interconnected components
including specialized agencies, voluntary funds and programs, peacekeeping operations, and
the parent United Nations organization itself. The system is financed by contributions from
participant states. The contributions are usually made in two ways: more than half are
voluntary contributions and the rest are assessed contributions — required “dues” at levels
established by the membership of the organizations involved.
Assessed contributions finance the regular budget of the United Nations, the Specialized
Agencies, and the International Atomic Energy Agency (IAEA). Financial assessments are
one of the legal obligations accepted by a country when it joins one of these organizations.
Thus, the organizations have a regular source of income from their members to enable them
to carry out authorized programs. Most current peacekeeping operations are funded through
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special assessed accounts. U.S. assessed contributions are included within the State
Department’s budget. Congress authorizes these funds as part of the “Foreign Relations
Authorization Act” and appropriates the money in the “State, Justice, Commerce, and
Judiciary” appropriations legislation. The regular assessed budgets of U.N. system
organizations as well as regional and other non-U.N. organizations are included in the
contributions to international organizations (CIO) account, while peacekeeping is funded in
the contributions to international peacekeeping activities (CIPA) account.
Voluntary contributions finance special programs and special apparatus created by the
U.N. system, such as the United Nations Development Programs (UNDP), the United
Nations Environment Program (UNEP), and the United Nations Children’s Fund (UNICEF).
These contributions are entirely up to the individual country, and no country is obliged to
contribute to these programs. U.S. voluntary contributions are financed through the foreign
assistance authorization and appropriations legislation.
U.N. Assessed Budgets
Scale of Assessments
The regular budgets of the U.N. and specialized agencies are funded by required
contributions from member states. The United States is required by Article 17 of the U.N.
Charter (a treaty ratified by the United States on August 8, 1945) to contribute to the
expenses of the organization. The scale of assessments — which is based generally on a
country’s capacity to pay — requires the United States to pay the maximum or 22% of the
U.N. regular budget, while 43 members pay the minimum or 0.001%. The U.S. assessment
for 2002 is $283.076 million. Regardless of the size of assessment, each member has one
vote on U.N. budget decisions, although budgets since 1988 have been adopted by
consensus.
Specialized agencies, while linked to the United Nations, are autonomous in executive,
legislative, and budgetary powers. Some agencies follow the U.N. scale in making
assessments; other agencies use their own formulas, which often result in lower U.S.
assessments.
If there were no maximum and minimum assessment levels for the U.N. regular budget
and charges were based exclusively on a ratio of a country’s gross national product, the
United States would be assessed about 27% and some very small and poor countries might
be assessed less than 0.001%. In 2002, the top 3 contributors (United States, Japan, and
Germany) were assessed a total of 51.5% of the U.N. regular budget. The top 10 contributors
(paying 77.8% of the total) to the regular U.N. budget according to the scale of assessments
adopted by the General Assembly for 2002 were as follows.
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Table 1. Top Ten U.N. Regular Budget Contributors for 2001
Assessments for 2001 in
Member State
Percent of Budget
millions of U.S.$
United States*
22.00
283.08
Japan
19.67
253.08
Germany
9.85
126.68
France*
6.52
83.84
United Kingdom*
5.58
71.79
Italy
5.10
65.67
Canada
2.58
33.18
Spain
2.54
32.67
Brazil
2.09
26.93
Rep. of Korea
1.87
24.01
*Permanent members of the U.N. Security Council
For 2002, the other two permanent members of the Security Council, the Russian Federation
(dropped from the top ten) and China are assessed 1.20%, $15.44 million and 1.55%, $19.88
million, respectively.
U.N. Reform
Because of unpredictable, partial and in some cases, non-payment of assessed
contributions by member countries (especially the United States), the United Nations
functions under cash shortage problems. Many see resolution of the financial crisis as
inextricably linked to U.N. system reform and restructuring. Some argue that serious reform
initiatives can strengthen the confidence of member countries in the ability of the
organizations to use funds effectively. Others, however, warn that without adequate funds,
the system may be in danger of collapse.
U.S. Role in U.N. Reform. The U.S. government has been pressing for U.N. reform
and has linked payment of its arrearage to reforms. On October 18, 1999, U.S. U.N.
Ambassador Holbrooke proposed that the next assessment scale (for years 2001-3) include
reduction of the ceiling on U.N. regular budget contributions from 25 to 22%. He also
called for establishment of an official and permanent scale for U.N. peacekeeping.
Congressional debate about the U.N. system has linked level of U.S. funding for U.N.
activities to U.N. reforms. High-level negotiations between the Administration and
congressional leaders led to agreement on an arrearage payment plan linked to reform
“benchmarks” (popularly known as the Helms-Biden agreement). The 106th Congress
enacted P.L. 106-113 including a Helms-Biden agreement conditioning arrears payments
on U.N. “reforms.”
U.N. Reform Efforts. In 1994, the General Assembly established an Office of
Internal Oversight Services headed by an Under-Secretary General appointed by the U.N.
Secretary-General with the approval of the General Assembly. Seven annual reports on the
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activities of the office through June 30, 2001, have been submitted to the General Assembly,
and the Office has undertaken an increasing number of monitoring, auditing, and
investigative activities.
On March 17, 1997, U.N. Secretary-General Kofi Annan announced the first part of
a two-track reform program. The first track included immediate managerial changes within
the Secretary-General’s authority to affect, while the second track included reform measures
requiring consultation and/or approval by U.N. member governments. Among the first track
initiatives were: reducing the budget, staffing levels, and documentation; creating a code of
conduct for U.N. staff; reorienting the Department of Public Information; consolidating
administrative, financial, personnel, procurement and other services; consolidating economic
and social departments; streamlining technical support; and improving integration of
development activities at the country level.
On July 16, 1997, Secretary-General Annan announced his second track reform
proposals. The 95-page report emphasized focusing on U.N. core missions, and on
improving management and efficiency. The proposals included: creating a new management
and leadership structure by establishing a Deputy Secretary-General, a Senior Management
Group, and a Strategic Planning Unit, assuring financial solvency through creation of a
Revolving Credit Fund; overhauling human resources policies and practices including
changing the management culture, eliminating 1000 jobs and reducing administrative costs;
promoting sustainable development as a central U.N. priority; improving peacekeeping and
strengthening post-conflict peace-building capacity; bolstering international efforts to combat
crime, drugs and terrorism by consolidating activities in Vienna; establishing a Department
for Disarmament and Arms Regulation; enhancing humanitarian activities by replacing the
Department of Humanitarian Affairs; and revamping public information functions. The
proposal called on members states to consider the following: refocusing the work of the
General Assembly on priority issues and reducing the length of sessions; establishing a
ministerial-level commission to review the U.N. Charter and specialized agency
constitutions; and designating the General Assembly session in the year 2000 as “a
Millennium Assembly” to focus on preparing the United Nations for the 21st century.
The U.N. General Assembly in 1997 affirmed many policy formulation and
management changes proposed by Secretary-General Annan including establishing a Deputy
Secretary-General post. Louise Frechette of Canada was named to the Deputy post. In 2001,
Secretary-General Annan (whose first term expired at the end of 2001) was elected to another
five-year term.
The current U.N. Under Secretary-General for Administration and Management, Joseph
Connor (an American, formerly with Price Waterhouse) is taking substantial measures to
improve the functioning and efficiency of the U.N. bureaucracy. U.N. Secretariat staff has
been cut from about 12,000 in 1985 to less than 9,000 today. The 1998-99 U.N. budget
($2.532 billion or a little less than $1.3 billion per year) was smaller than that for 1996-97
($2.608 billion), and the 1994-95 budget ($2.632 billion). The budget for the 2000-2001
biennium was $2.562 billion and that for 2002-2003 is $2.625 billion.
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U.S. Withholding
Since 1980, Congress prohibited contribution of the U.S. proportionate share for a
number of U.N. programs and activities of which Congress did not approve including for the
Special Unit on Palestinian Rights, for projects benefitting the Palestine Liberation
Organization (PLO), the South West Africa People’s Organization (SWAPO), construction
of a conference center in Addis Ababa, Ethiopia, for the Second Decade to Combat Racism
and Racial Discrimination, and for implementation of General Assembly Resolution 3379
(XXX) (racism equals Zionism). In addition, the Administration withheld the U.S.
proportionate share of funds for the Preparatory Commission for the Law of the Sea and
funds relating to taxes paid by U.S. citizens employed by the United Nations.
The United States has also withheld funds until certifications are made that certain
actions (sought by Congress) have been taken by the United Nations. Such withholdings
have included the Kassebaum-Solomon Amendment (sec. 143 of P.L. 99-93, and
subsequently amended) which withheld 20% of U.S. assessed dues to the United Nations and
its specialized agencies unless those agencies granted voting rights on budgetary matters
proportionate to budget contributions by each member country. P.L. 107-77 withheld $100
million of funds appropriated for the United Nations until the Secretary of State certified that
the United Nations had not exceeded its budget for the biennium 2000-2001.
Arrearages
Under Article 19 of the U.N. Charter, countries with arrears totaling more than the
member’s assessments for the two preceding years lose their vote in the U.N. General
Assembly. As of February 14, 2002, 23 countries were in that status.
According to the United Nations (as of December 31, 2001), the United States owes
assessed contributions of $870.9 billion ($165.4million for the U.N. regular budget, $14.6
million for International Tribunals, and $690.9 million for peacekeeping). In addition,
about $260 million is outstanding in U.S. assessed payments to U.N. affiliated agencies (such
as the Food and Agriculture Organization). The U.S. government, however (because of U.S.
statutory and policy withholdings), estimates that U.S. outstanding contributions are lower
than the U.N. figures.
U.N. Arrears in Recent Legislation
P.L. 106-113 authorized payment of a total $819 million and allowed an additional $107
million to be applied to U.S. arrears. The measure incorporated the Helms-Biden agreement
and authorized appropriations for payment of U.S. arrears to international organizations
provided certain conditions are met and so certified by the Secretary of State. The agreement
authorized payment of $819 million ($100 million of FY1998 funds, $475 million of
FY1999 funds, and $244 million of FY2000 funds), and authorized $107 million owed by
the United Nations to the United States for peacekeeping to be forgiven provided the United
Nations applies it to reduce U.S. arrears.
P.L. 106-113 required that State Department certification for release of FY1998 funds
include stipulations that neither the United Nations nor any U.N. affiliated agency has
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required the United States to violate the Constitution or cede sovereignty, taxed U.S.
nationals, created a standing army, charged the United States interest on arrears, borrowed
externally, or exercised authority or control over any U.S. national park, wildlife preserve,
monument or property. In December 1999 the certification was made and $100 million was
paid to the United Nations.
Release of FY1999 appropriated funds required certification that the United Nations has
established a “contested arrears account” for all U.S. arrearages not included for payment in
this authorization, and agree that the amount in this account will not be used to apply the
provisions of Article 19 of the U.N. Charter to the United States. In addition, for payment
of FY1999 appropriated funds, there must be a reduction in the assessment ceiling from 25%
to 22% for the U.N. regular budget, and a reduction to 25% for U.N. peacekeeping.
Payment of funds authorized for FY2000 requires that the maximum assessment rate
for the U.N. regular budget and designated U.N. specialized agencies (FAO, ILO, and WHO)
be reduced to 20%; that designated U.N. specialized agencies establish and have regular
reports by independent inspectors general similar to the U.N. Office of Internal Oversight
Services; the United Nations, FAO, ILO, and WHO must adopt program evaluation
procedures which will result in regular evaluation of the continued relevance and
effectiveness of all programs, and the termination of those which are no longer needed
(sunset provisions); the United Nations, FAO, ILO, and WHO must establish clearer budget
procedures and maintain budgets which do not exceed agreed levels; FAO, ILO, and WHO
maximum assessment level is lowered to 22%; the United States or the five largest
contributors to the United Nations each must have a seat on the U.N. Advisory Committee
on Administrative and Budgetary Questions, and the U.S. General Accounting Office is to
have access to U.N. financial data.
The Helms-Biden package included waiver authority for two provisions. The
Secretary of State after notification and consultation with the appropriate congressional
committees may waive the requirement (1) for establishment of a contested arrears account
for those arrears in dispute, and (2) for achievement of the 20% ceiling for regular budget
assessments for the United Nations and designated specialized agencies. Secretary of State
Albright submitted both waivers in January 2001.
FY2000 appropriations legislation (also in P.L. 106-113) included $244 million for
international organization arrears and allowed $107 million owed by the United Nations to
the United States for peacekeeping to be applied to U.S. arrears. Payment of the $244
million was prohibited until designated U.N. specialized agencies (FAO, ILO, and WHO)
have reduced to 22% the assessed contribution for any single member country, and the
organizations have achieved zero nominal growth in the budget for 2000-2001 from the
1998-1999 biennium budget.
In December 2000 the U.N. General Assembly agreed on a financial restructuring of
both the regular and peacekeeping assessment structures. As a result the U.S. share of the
regular budget was reduced from 25% to 22% and for peacekeeping from about 30.4% to
28.14%, initially, falling to 27.28% by the end of the year and falling to close to 25% in
subsequent years. The deal was solidified after U.S. businessman, Ted Turner (founder of
the CNN television network) offered to make a one-time payment of about $34 million (3%
of the total U.N. regular budget) to make up the regular budget shortfall resulting from
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reducing the U.S. assessment from 25 to 22% in the 2001 U.N. budget. Many countries had
already budgeted their 2001 U.N. assessments and could not pick up the difference in 2001,
and so this voluntary contribution mitigated the financial burden on other U.N. member
countries in 2001. The General Assembly also decided to review the assessment agreement
at the end of the year 2003 and depending on the status of contributions and arrears to
consider appropriate measures to remedy the situation, including adjustments in the ceiling.
The changed assessment scale met the requirement of the Helms-Biden agreement for
reduction of the regular budget scale to 22%, in order to release the second tranche of arrears
payment (FY1999 appropriations of $475 million, plus $107 million credit to the United
Nations against U.S. arrears). The new peacekeeping scale, however, while a substantial
reduction, did not meet the Helms-Biden requirement of 25%. P.L. 107-46 (S. 248)
amended the Helms-Biden provision by rasing the percentage to 28.15%, thus allowing
certification of and payment of the second tranche of arrears.
However, because of another existing statutory prohibition on U.S. payment of more
than 25% of U.N. assessed peacekeeping costs (sec. 404, P.L. 103-236), the United States
will continue to build up arrears in its peacekeeping assessments. This prohibition affects
current U.S. payments for U.N. peacekeeping. H.R. 1646 as passed by the House raises the
allowable level for U.S. current assessed peacekeeping costs to 28.15% for FY2002 and
FY2003.
H.R. 1646 as passed by the House also placed additional conditions on release of the
third and final installment of U.S. arrears ($244 million): the Secretary of State must certify
that the United States had regained a seat on the U.N. Commission on Human Rights and
made a determination on U.N. voting practices; and the General Accounting Office (GAO)
had to submit to Congress a detailed accounting of U.S. contributions to U.N. peacekeeping
operations from 1990 through 2001.
On October 5, 2001 the President signed into law P.L. 107-46 (S. 248) allowing the
United States to pay the second tranche ($475 million) of its arrears to the United Nations
and allowed an additional $107 million to be credited to U.S. arrears. The legislation raised
the percentage for U.S. peacekeeping assessments from 25 to 28.15 as a condition for release
of arrears funds, thereby making available $582 million for U.S. arrears to the United
Nations. The action was seen as part of an effort to smooth relations with other U.N.
member states as the United States sought support for an international coalition to fight
terrorism in the aftermath of the September 11, 2001 terrorist attack.
FY2003 Funding for U.N. Assessed Budgets
On July 24, 2002 the Senate Committee on Appropriations reported (S.Rept. 107-218)
S. 2778, the FY2003 Commerce, Justice, State appropriations legislation, including $850
million for assessed U.S. payments to the contributions to international organizations account
and $666.8 million for U.S. assessed contributions to international peacekeeping activities
account. The Committee also directed the Secretary of State to prepare a plan for the
graduated synchronization of the U.S. and U.N. budget cycles. President Bush requested
$891.378 million for FY2003 for U.S. assessed contributions to international organizations
(including $279.327 million for the U.N. regular budget) and $725.981 million for assessed
U.N. peacekeeping operations.
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FY2002 Funding for U.N. Assessed Budgets
Appropriations. P.L. 107-77 (H.R. 2500), signed into law on November 28, 2001,
provided $850 million for the contributions to international organizations (CIO) account but
withheld $100 million until the Department of State certified that the United Nations has not
exceeded its budget of $2.536 billion for the biennium 2000-2001. In addition, the measure
provided $844.139 million for the contributions to international peacekeeping activities
(CIPA) account. The House had agreed to the conference report (H.Rept. 107-278) on
November 14 and the Senate on November 15.
The conference report (H.Rept. 107-593) on H.R. 4775 making supplemental FY2002
appropriations for FY2002 included an additional $7 million for the contributions to
international organizations to remain available until September 30, 2003 for an emergency
contribution anticipated to support a U.N. mission in Afghanistan.
The Bush Administration requested $878.767 million for U.S. assessed contributions
to international organizations, of which $619.517 million was for assessed U.N. system
organizations including $266.244 million for the U.N. regular budget. In addition, $844.139
million was requested for assessed peacekeeping operations.
H.R. 2500 as passed (408-19) by the House on July 18, 2001, appropriated $850 million
for FY2002 U.S. assessed contributions to international organizations of which $100 million
is to be available only after a certification by the Secretary of State that the United Nations
has not exceeded its budget for the biennium 2000-2001 of $2.535 billion. The measure also
included $ 844.139 million for assessed contributions to U.N. peacekeeping operations. An
amendment sponsored by Representative Ron Paul to prohibit any U.S. contribution to the
United Nations to any affiliated agency as well as an amendment to prohibit U.S.
contributions for U.N. peacekeeping operations were defeated on July 18, 2001, by a vote
of 62 to 364 and 71 to 359 respectively. An amendment sponsored by Representative
Bartlett to prohibit funds to implement any recommendation adopted at the U.N. Conference
on Illicit Trade in Small Arms and Light Weapons was withdrawn.
The Senate Appropriations Committee reported (S.Rept. 107-42) S. 1215 on July 20,
recommending $1.091 billion for FY2002 for U.S. assessed contributions to international
organizations and $773.182 million for peacekeeping activities. The committee sought to
synchronize the U.S. and U.N. budget years by including funding for both calendar year 2001
and calendar year 2002 for the U.N. regular budget. On September 13, 2001, the Senate
passed S. 1215, as a substitute, in H.R. 2500.
Authorizations. H.R. 1646 as passed by the House authorized $944.067 million for
U.S. assessed contributions to international organizations, and $844.139 million for assessed
peacekeeping activities. Of the amounts authorized $59.8 million for each of FY2002 and
FY2003 is to cover U.S. return to UNESCO and $5.5 million for FY2002 is for payment to
the UNESCO Working Capital Fund. On May 1, 2002, the Senate passed H.R. 1646
amended by substituting the text of S. 1803 as passed by the Senate on December 20, 2001.
Section 307 of the Senate-passed version of H.R. 1646 authorized the appropriation of $60
million for the International Atomic Energy Agency (IAEA) in FY2002 and $75 million for
FY2003. The provision expressed the sense of Congress that the Secretary of State should
negotiate an increase in the regular budget of the IAEA, and stated that it had not been the
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intent of Congress in enacting the Helms-Biden U.N. reform legislation to reduce U.S.
contributions to all U.N. related organizations to 22%. Rather the legislation asserted that
contributions for important and effective agencies such as the IAEA should be maintained
“at levels commensurate with the criticality of its mission.”
On September 4, 2001, the Senate Foreign Relations Committee reported S. 1401,
authorizing the full amount requested for the CIO and CIPA accounts for the State
Department. In addition, S. 1401 authorized $266.2 million to bring U.S. payments to the
U.N. regular budget into alignment with the U.N. financial year.
FY2001 Funding for U.N. Assessed Budgets
P.L. 106-553, signed into law on December 21, 2000, enacted H.R. 5548 as contained
in the conference report, H.Rept 106-1005. The measure included appropriations for U.S.
assessed contributions for FY2001 for international organization regular budgets a total
$870.833 million and $ 846 million for assessed U.N. peacekeeping operations.
The Administration had requested for FY2001, $946.06 million for U.S. assessed
contributions to international organizations of which $299.608 million was for the U.N.
regular budget. The Administration also requested $738.66 million for assessed
peacekeeping. In addition, $107 million was requested in FY2000 supplementary
appropriations for assessed U.N. peacekeeping operations in East Timor and Kosovo. H.R.
3908 as passed by the House on March 30, deleted all requested supplemental funds for
assessed U.N. peacekeeping operations.
Table 2. U.S. Contributions to Current U.N. Assessed Regular
Budgets
(in millions of $)
FY2000
FY2001
FY2002
FY2003
Actual
Actual
Estimate
Request
United Nations
302.578
299.651
266.194
279.327
U.N. Capital Master Plan
–-
–-
–-
8.140
U.N. Capital Master Plan Task Force
–-
–-
–-
1.000
U.N.–War Crimes Tribunals
22.420
20.104
23.990
27.213
Cambodia War Crimes Commission
–-
–-
3.000
–-
Iraq War Crimes Commission
–-
–-
4.000
4.000
Food and Agriculture Organization
81.038
82.388
72.741
72.457
International Atomic Energy Agency
48.929
44.755
47.473
52.230
International Civil Aviation Agency
11.980
12.171
12.011
12.464
International Labor Organization
54.722
55.796
55.361
50.333
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FY2000
FY2001
FY2002
FY2003
Actual
Actual
Estimate
Request
International Maritime Organization
1.195
1.152
1.209
1.145
International Telecommunications
Union
6.141
5.962
5.800
5.937
Universal Postal Union
1.296
1.240
1.295
1.325
World Health Organization
108.372
108.109
108.109
93.616
World Intellectual Property
Organization
1.054
0.816
0.823
0.825
World Meteorological Organization
9.981
9.421
8.332
8.359
Total
649.706
641.565
610.338
618.371
U.N. Voluntary Programs
FY2003. The appropriate level of funding for U.N. voluntary programs continues to
be a congressional concern. On July 24, 2002, the Senate Appropriations Committee
reported (S.Rept. 107-219) S. 2779, the FY2003 Foreign Operations appropriations
legislation, including $230.486 for the international organizations and programs account of
which $50 million is for UNFPA. An additional $120 million is included in the Child
Survival account for UNICEF. The Administration requested $310.4 million for voluntary
contributions through the international organizations and programs account. In addition,
$50 million for voluntary IAEA programs and $15 million for the International Fund for
Agricultural Development (IFAD) was requested in other accounts.
FY2002. P.L. 107-115 (signed into law on January 10, 2002) appropriated $208.5
million for U.S. voluntary contributions to the international organizations and programs
account of which not more than $34 million is for the United Nations Population Fund
(UNFPA) and not less than $6 million is to be for the World Food Program (WFP). In
addition $120 million for the U.N. Children’s Fund (UNICEF), $53 million for the Global
Alliance for Vaccines and Immunizations (GAVI), $20 million for the International Fund for
Agricultural Development (IFAD), and a voluntary contribution for the International Atomic
Energy Agency (IAEA) were provided in other accounts.
For FY2002 the Bush Administration requested $186 million for U.S. voluntary
contributions to the international organizations and programs account of which 87.1 million
would be for UNDP and $25 million for the U.N. Population Fund (UNFPA). In addition,
$110 million for UNICEF was requested in the Child Survival account and $49 million for
voluntary IAEA programs in the Nonproliferation, Anti-Terrorism and Demining account.
H.R. 2506 as passed (381 to 46) by the House on July 24, 2001, appropriated $196
million for the voluntary contributions to international organizations and programs account
of which not more than $25 million for FY2002 may be for UNFPA. In addition $120
million for UNICEF, $49 million for voluntary contributions for IAEA, and $20 million for
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IFAD are provided from other accounts. The House agreed to an amendment offered by
Representative Ose prohibiting use of appropriated funds for a U.S. contribution to the U.N.
International Narcotics Control Board.
H.R. 1646 as passed by the House authorized $186 million for U.S. voluntary
contributions to international organizations for FY2002 and such sums as may be necessary
for FY2003. Of the authorized amounts $5.0 million for each of FY2002 and FY2003 is for
U.S. cash contribution to the World Food Program (WFP); and $5.0 million for the U.N.
Voluntary Fund for Victims of Torture. Restrictions are placed on UNDP programs in
Burma. In addition, $120 million is authorized for FY2002 for UNICEF.
FY2001. P.L. 106-429 (H.R. 4811) included $186 million for voluntary contributions
to the international organizations and programs account. An additional $110 million for
UNICEF, $50 million for GAVI, $47 million for voluntary IAEA programs, and $2.5 million
for IFAD are provided in other accounts. The conference committee recommended (H.Rept.
106-997) that of the $186 million $90 million be provided to UNDP, $25 million to UNFPA,
$5 million for the World Food Program, and $5 million for the U.N. Voluntary Fund for
Victims of Torture.
For FY2001 the Clinton Administration requested $354 million for voluntary
contributions to the international organizations and programs account of which $110 million
is for UNICEF, $90 million for UNDP, and $25 million for UNFPA
On July 13, 2000 the House passed (239 to 185) H.R. 4811 ( FY2001 foreign assistance
appropriations) including voluntary contributions to U.N. programs. As passed the measure
provided $183 million for the voluntary international organizations and programs account
of which $5 million was to be provided for the World Food Program (WFP). In addition,
$110 million for UNICEF and $50 million for GAVI was included in the Child Survival
account. On July 18 the Senate passed H.R. 4811 substituting the language in S. 2522 in
lieu. The Senate version provided $288 million for the international organizations and
programs account of which not less than $5 million would be for WFP and not less than $25
million for UNFPA. Voluntary IAEA programs are funded in both House and Senate
versions in a separate nonproliferation account.
Issues. An extremely contentious issue has been funding for UNFPA. From
FY1986-FY1992 UNFPA received no U.S. funds because of its presence in China, where
coercive population practices have been reported. President Clinton reversed the earlier
policy of not providing any U.S. funds to UNFPA. For FY1998 the Administration
requested $30 million for UNFPA and $25 million was appropriated. P.L. 105-277
prohibited U.S. funds for UNFPA during FY1999. $25 million was appropriated for UNFPA
during FY2000, and again for FY2001. $34 million was appropriated for FY2002. In
January 2002, the Bush Administration placed a hold on UNFPA funds pending a review of
its program in China. On July 22, 2002, the Bush Administration announced that it would
not contribute the $34 million FY2002 funds appropriated for UNFPA to that organization.
No funds were requested for UNFPA for FY2003, although there is a “reserve” of $25
million which might be made available for UNFPA. (For more detailed discussion, see CRS
Issue Brief IB96026, Population Assistance and Family Planning Programs: Issues for
Congress.)
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U.S. officials cite several reasons for restrained funding recommendations for what they
consider to be, for the most part, popular and productive agencies. First, as in the assessed
agencies, Administrations have expressed commitments to fiscal restraint in international
organizations — to zero growth budgets or budget cuts — arguing that with countries cutting
domestic spending, U.N. agencies cannot expect to remain untouched. Second, many believe
that there are limits to the United Nations’ institutional capacity to deal with world problems.
Members of Congress have been increasingly critical of funding for multilateral
programs which are not always seen as serving primary U.S. interests. Recent congressional
activity includes close scrutiny and critical review of international organization programs and
a refocusing toward those which are deemed clearly to promote U.S. national interests such
as the International Atomic Energy Agency.
Table 3. U.S. Voluntary Contributions to U.N. Programs Financed
Through the Foreign Assistance Act
(International Organizations and Programs)a
(in millions of $)
FY2000
FY2001
FY2002
FY2003

Actual
Actual
Estimate
Request
UN Development Program (UNDP)
80.000
87.091
97.100
100.00
UN Children’s Fund (UNICEF)b
110.000
109.758
120.000
120.000
World Food Program (WFP)
5.000
5.000
6.000
–-
UN Development Fund for Women
1.000
1.000
1.000
1.000
(UNIFEM)
International Contributions for Scientific,
2.200
1.750
1.750
1.750
Educational, & Cultural Activities
WMO Voluntary. Coop. Program
2.000
2.000
2.000
2.000
UN Environment. Program (UNEP)
10.000
10.000
10.750
10.025
Montreal Protocol Multilateral Fund
28.000
26.000
25.000
23.000
International. Conservation Programsc
5.150
5.450
7.700
6.225
(CITES, ITTO, IUCN, Ramsar, CCD)
UN Voluntary Fund Torture Victims
5.000
5.000
5.000
5.000
International Fund for Agricultural.
2.500
4.989
20.000
15.004
Developmentd (IFAD)
UN Afghan. Emergency Trust Fund
0.500
–-
–-
–-
Climate Stabilization Fund (IPCC,
6.500
6.500
7.400
5.600
UNFCC)
ICAO Aviation Security Fund
0.300
0.300
0.300
0.300
UN Population Fund (UNFPA)
25.000
25.000
–-
–-
UN Voluntary Fund for Advisory Services.
1.500
1.500
1.500
1.500
& Technical Cooperation.
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FY2000
FY2001
FY2002
FY2003

Actual
Actual
Estimate
Request
IAEA Voluntary Programse
43.000
50.458
49.00
50.000
Reserved –To Be Allocated
–-
–-
34.00
25.00
Total
$327.650
$333.591
$388.500
366.404
a Does not include U.S. contributions to U.N. High Commissioner for Refugee (UNHCR) Programs ($241
million in FY2001) and to U.N. Relief and Works Agency for Palestine Refugees in the Near East
(UNWRA) ($101 million in FY2001), financed through the Migration and Refugee Assistance Account;
World Food Program commodities donations; WHO Special Programs; U.N. Volunteers; and U.N.
International Drug Control Program.
b Appropriated under Child Survival Program
c Only CITES is a U.N. program.
d IFAD funding for FY2001 was appropriated, and in FY2002 and FY2003 was requested under International
Financial Institutions.
e Appropriated under Non-Proliferation, Antiterrorism, Demining and Related Programs account.
The United States exercises considerable influence among voluntary agencies and many
countries follow the U.S. lead in making voluntary contributions. If the United States
contributes less than in earlier years, other donors may follow suit. This would magnify the
reductions to U.N. voluntary programs considerably. A related concern is the cumulative
effect of U.S. contribution cuts on voluntary agencies. U.S. cutbacks to one agency also
affect programs in other agencies because many projects are joint, cooperative efforts by a
number of U.N. agencies. Moreover, the financial crisis in the central U.N. organ and the
specialized agencies also has ripple effects on programs throughout the voluntary system.
Congressional supporters of multilateral voluntary agencies fear that budget reductions
will significantly affect these organizations’ ability to continue their development work.
These proponents point out that many U.N. voluntary agencies serve U.S. interests. They
contend that many of these agencies are considered efficient and effective and, in some cases,
may provide better development programs than occurs through bilateral channels. Table 3
summarizes recent U.S. funding actions for some U.N. voluntary programs.
U.N. Peacekeeping Operations
Issues relating to U.S. support for U.N. peacekeeping operations including financing of
such activities have been the source of particular congressional concern. In 1994 Congress
enacted legislation (Section 404 of P.L. 103-236) which limited U.S. assessed peacekeeping
contributions after October 1, 1995 to 25% of total U.N. peacekeeping assessments. (For
detailed discussion, see CRS Issue Brief IB90103, United Nations Peacekeeping: Issues for
Congress.)
FY2003. The Senate Appropriations Committee recommended $ 666.8 million for
assessed U.S. peacekeeping contributions for FY2003. The Bush Administration requested
$725.981 million for FY2003 for U.S. assessed contributions to U.N. peacekeeping
operations.
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FY2002. The Bush Administration requested $844.139 million for FY2002 for U.S.
assessed contributions to U.N. peacekeeping operations, and P.L. 107-77 appropriated this
amount. H.R. 1646 as passed by the House authorized appropriation of this amount. The
conference report (H.Rept. 107-593) on H.R. 4775 providing supplemental appropriations
for FY2002 included $23.034 million for contributions to the international peacekeeping
activities account for an emergency increased assessment for the U.N. peacekeeping mission
in the Democratic Republic of the Congo (MONUC).
FY2001. P.L. 106-553 included $846 million for assessed peacekeeping contributions
for FY2001.
LEGISLATION
P.L. 107-46 (S. 248)
Amends the FY2000-2001 Foreign Relations Authorization Act to adjust a condition
for payment of arrears to the United Nations. Introduced on February 6, passed Senate (99-
0) on February 7, 2001. Passed House by voice vote on September 24. Signed into law on
October 5, 2001.
P.L. 107-77 (H.R. 2500)
The Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies,
Appropriations, FY2002. Reported (H.Rept. 107-139) as an original bill on July 13, 2001.
Passed House (408-19), amended, on July 18; passed Senate, as substituted by S. 1215, on
September 13. Conference report (H.Rept. 107-278) filed on November 13. The House
agreed (411-15) to conference report on November 14, and the Senate on November 15.
Signed into law on November 28, 2001.
P.L. 107-115 (H.R. 2506)
Foreign Operations Appropriations, FY2002. Reported (H.Rept. 107-142) on July 17.
Passed House (381-46), amended, on July 24. Reported (S.Rept. 107-58) on September 4.
Passed Senate (96-2), amended, on October 24. Conference report (H.Rept. 107-345) agreed
to by House on December 19 by vote of 357 to 66 and by the Senate on December 20 by
unanimous consent. Signed into law on January 10, 2002.
H.R. 1646 (Hyde)
Foreign Relations Authorizations, FY2002-2003. Passed by the House 352 to 73 on
May 16, 2001. Passed by the Senate on May 1, 2002 amended by substituting the text of S.
1803 in lieu.
S. 1401 (Biden)
Foreign Relations Authorizations, FY2002-2003. Reported (S.Rept. 107-60) by the
Senate Committee on Foreign Relations on September 4, 2001.
S. 1803 (Biden)
Authorization for the Arms Export Control Act and Security Assistance for FY2002 and
FY2003. Agreed to in the Senate by unanimous consent.
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S. 2778 (Hollings)
Makes appropriations for the Departments of Commerce, Justice, State, the Judiciary
and Related Agencies for FY2003. Reported (S.Rept. 107-218) on July 24, 2002.
S. 2779 (Leahy)
Makes appropriations for Foreign Operations for FY2003. Reported (S.Rept.107-219)
on July 24, 2002.
CONGRESSIONAL HEARINGS, REPORTS, AND DOCUMENTS
U.S. Congress. Senate. Committee on Foreign Relations. Subcommittee on International
Operations. The Secretary’s Certification of a U.N. Reform Budget of $2.533 Billion.
Hearing, 105th Congress, 2nd session. May 20, 1998. U.S. GPO, 1998. 18 p.
FOR ADDITIONAL READING
——United States Participation in the United Nations. Report by the President to Congress
for the Year 1999. Washington, U.S. Govt. Print. Off., 2000. 177 p.
U.S. General Accounting Office. United Nations: Reform Initiatives Have Strengthened
Operations, but Overall Objectives Have Not Yet Been Achieved. GAO/NSIAD-00-
150. May 2000. Washington, 2000. 84 p.
——United Nations: Status of U.S. Contributions and Arrears. GAO/NSIAD-99-187. July
1999. Washington, 1999. 29 p.
CRS Reports
CRS Report RL30985. UNESCO Membership: Issues for Congress, by Lois McHugh.
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