Specially Designated Contributions
Specially Designated Contributions comprise a category of funds managed on behalf of the wider humanitarian system by OCHA. They are used for the implementation of emergency relief assistance activities by United Nations agencies and NGO partners. In most cases, these contributions are subject to only three percent programme support. The Programme Support generated from managing SDCs is spent inter alia on administrative costs of managing these activities.
SDCs are flow-through funds (or grants) which do not form part of the requirements in OCHA in 2008, or any subsequent OCHA budget revisions during the year. As such, these funds should be considered separately from OCHA’s own requirements, income and expenditure. This year, to reflect more clearly and accurately (1) OCHA’s own activities (both within and outside its appealed-for requirements) and (2) contributions handled by OCHA but spent by the wider humanitarian system, SDCs are addressed independently herein.
In 2008, SDCs included the following categories of funds:
- UNDAC Mission Accounts: member states deposit funding with OCHA, which is used to deploy their nationals on UNDAC missions. Currently 30 member states hold UNDAC Mission Accounts with OCHA.
- Natural Disaster Pre-Positioned Reserve Funds: These are pre-positioned reserve accounts held with OCHA by eight donors. The funds are loosely earmarked for disaster response and drawn on to provide emergency cash grants to United Nations agencies and NGOs in natural disasters. The grants are managed by OCHA and released at the request of the RC.
- Natural Disaster Grant Sub-Accounts: These are project accounts created in Geneva once emergency cash grant funds are released from the Pre-Positioned Reserve Funds (see above). The funds provide immediate support for relief operations responding to natural, environmental and technological disaster situations. An individual project account is created per disaster, to enable the issuance of financial authorizations, maintenance of grant balances, and preparation of Statements of Accounts for each of the natural disaster projects. Unspent funds are returned to the Pre-Positioned funds account.
- Relief Stock Items: These are funds used for the purchase and management of OCHA relief stocks held in the United Nations Humanitarian Response Depot.
- Emergency Response Funds (ERFs): ERFs describe country-level pooled funds Humanitarian Emergency Response Fund, Rapid Response Fund, Emergency Response Fund, Humanitarian Response Fund, etc. managed under OCHA auspices. Funds held in ERFs are released by the HCs for NGOs and United Nations agencies for response to rapidly evolving needs on the ground. There are currently nine ERFs for which OCHA manages donor contributions: DRC, Ethiopia, Haiti, Indonesia, Iraq, Myanmar, oPt, Somalia and Zimbabwe.
- The ProCap and GenCap Rosters: This is flow-through funding for ProCap and GenCap, covering the management and deployment of Senior Protection Officers and Senior Gender Advisers by the Norwegian Refugee Council. (ProCap and GenCap Secretariat costs appear in the OCHA budget since they are not flow-through costs).
- The Juba Initiative Project: To support the Peace Secretariat and Cessation of Hostilities Monitoring Team of the Juba Peace Talks, the Juba Initiative Project (JIP) was established in 2006 as a grant to the Government of Southern Sudan. The JIP was set up to channel donor support to the peace process that formally ended on 31 May 2008.
The combined closing balance for the SDCs was $99.1 million, of which $80.9 million was carried over in the sub-category of ERFs. This was largely due to the late receipt of funds in the year (third quarter). The majority of the carryover for the ERFs related to the two largest funds: Ethiopia and Somalia.
|Categories||Opening Balance||Add: Contributions and Other Income||Add/(Less): Adjustments Transfers Refunds||Less: Expenditure||Closing Balance|
|UNDAC Mission Accounts||1,425,340||502,005||518,121||1,409,224|
|Natural Disaster — Prepositioned Funds||3,213,239||1,815,476||179,030||—||5,207,745|
|Natural Disaster Grants||11,652,391||76,666||(6,334,550)1||1,503,783||3,890,724|
|Relief Stock Items||3,323,935||3,113,085||(384,615)||768,635||5,283,770|
|Emergency Response Funds||42,495,703||98,707,383||(2,439,125)2||57,853,299||80,910,662|
|PROCAP and GENCAP Rosters||—||1,399,572||2,369,0003||2,369,000||1,399,572|
|Juba Initiative Project||—||3,341,788||4,268,7694||6,631,062||979,495|
|1 — Includes adjustments for the reclassification of 2007 natural disaster projects with opening balances totaling ($4,480,044) as OCHA Mandated Activities; other adjustments of $1,946; transfers to other projects of $1,333,982; and refunds of $518,578 to donors.|
|2 — Includes adjustments for the reclassification of 2007 specially designated activities with opening balances totaling ($2,999,739) as OCHA Mandated Activities; and net transfers of $560,614 to establish separate projects in 2009 for the grant facility of Emergency Response Funds.|
|3 — Consists of transfers totaling $2,369,000 to establish separate projects in 2009 for the grant facility of PROCAP and GENCAP.|
|4 — Includes the adjustment for the opening balance of $3,768,769 for the Juba Initiative Project that was not classified as a specially designated activity in 2007; and the transfer of $500,000 loaned from the unearmarked sub-account.|