Twenty-Eighth Meeting of the Parties 10-14 October 2016 Kigali, Rwanda Budget Committee Presentation by the Ozone Secretariat MOP28 10-14 October 2016 Twenty-Eighth Meeting of the Parties 10-14 October 2016 Kigali, Rwanda

Budget Committee Presentation by the Ozone Secretariat MOP28 10-14 October 2016 Proposed revised 2016 budget of the MP trust fund Proposed 2017 and 2018 budgets of the MP trust fund Cash flow position of the MP trust fund at the end of 2016 Contribution options for 2017

Proposed revised 2016 budget Budget Committee Presentation by the Ozone Secretariat MOP28 10-14 October 2016 Proposed revised 2016 budget Important elements of the revised budget: The revised budget for 2016 has remained at the overall approved level in 2015 of $6,772,162. The programme support cost for 2015 has been fully utilized. An additional amount of $150,000 has been incurred to cover the cost of conference services and related interpretation for the Vienna meetings including an extra day of the resumed 37OEWG and the 3ExMOP. This $150,000 has been offset by projected savings in staffing costs resulting from the vacant P4 Programme Management Officer. No overall increase is required for the approved 2016 budget.

Three Year Budget Trend Budget Committee Presentation by the Ozone Secretariat MOP28 10-14 October 2016 Three Year Budget Trend

Three Year Budget By Category Budget Committee Presentation by the Ozone Secretariat MOP28 10-14 October 2016 Three Year Budget By Category Category 2016 Budget % 2016 Budget 2017 Budget % 2017 Budget 2018 Budget % 2018 Budget Meetings 4,170,000 70% 2,725,250 57% 2,901,000 59% Staff & Consultants 1,378,194 23% 1,568,072 33% 1,575,082 32% Travel 225,000 4% 5% Other 219,870 299,870* 6% 209,870 Direct Budget 5,993,064 100% 4,818,192 4,910,952 Programme Support Cost 779,098 13% 626,365 638,424 Total Budget 6,772,162   5,444,557 5,549,376 * 2017 Other cost includes celebration of 30th anniversary of the Montreal Protocol ($90,000)

Budget Committee Presentation by the Ozone Secretariat MOP28 10-14 October 2016 Progression of Approved Budgets , Expenditures and Assessed Contributions for years: 2007 to 2016 (Thousands of United States dollars)

Projected Cash Position Budget Committee Presentation by the Ozone Secretariat MOP28 10-14 October 2016 Projected Cash Position Beginning Balance Cash Position 2,057,909 Contributions Received 30/09/2016 3,784,454 Projected Incoming Cash from Parties 820,000 Parties Paying 2017 Contribution in Advance *338,412 Softly Earmarked Contributions 270,000 Rwanda 150,000 Projected Funds Available for Operations 7,420,775 Approved Budget 2016 6,772,162 Adjustments to Budget   Projected Savings on Professional Staff -220,000 Other Projected Savings (Non-Staff) -100,000 Projected Final Budget Utilization 6,452,162 Projected Final Cash Position 968,613 Projected Cash Position (Less prepayments) 630,201 * Prepayments of $338,412 will assist in the current cash position by only delaying the negative cash position to 2017

* 2016: Ending cash position is forecasted Budget Committee Presentation by the Ozone Secretariat MOP28 10-14 October 2016 Cash Projection (Thousands of United States dollars) Year 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016* Cash (July) 4,147 6,053 6,107 3,463 4,491 4,595 3,956 4,028 2,057 (1,000) Cash (Oct) 968 * 2016: Ending cash position is forecasted

Funding options for the proposed 2017 budget Budget Committee Presentation by the Ozone Secretariat MOP28 10-14 October 2016 Funding options for the proposed 2017 budget Option 1 (recommended option previously) Option 2 (recommended option now) Option 3 Level of contributions: $6.262 million Option parameters: Full funding of the budget and the cash reserve in the fiscal year 2017   Projected end of year balances: Cash: $817,000 Level of contributions: $5.853 million Full funding of the budget and the cash reserve over two years (2017 and 2018) Projected end of year balances: Cash: $408,000 Level of contributions: $5.714 million Full funding of the budget and the cash reserve over three years (2017, 2018 and 2019) Cash: $270,000

Budget Committee Presentation by the Ozone Secretariat MOP28 10-14 October 2016 Approval of revised budget for 2016 Approval of proposed budget for 2017 Take note of the 2018 budget Decide on the level of assessed contributions Decide on the replenishment of the operational reserves