1. WMO Proposed Budget 2012-2015 EXECUTIVE COUNCIL Geneva, 8 to 18 June 2010

2. 1. Budget 2012-2015: main features 4 Priorities: GFCS, capacity building, observation systems, disaster Budget of CHF 315.0 million, including assessed resources of CHF 267.0 million (reflecting increase of 2% annually) 2 options for reductions of assessed resources Concept of integrated budget based on assessed and voluntary funding, including Major Initiatives Addition information: 16 years of ZNG

3. 2. Budget 2012-2015: resources overview Budget of CHF 315.0 million including: –Regular resources of CHF 282.0 million Assessed contributions: CHF 267.0 million reflecting 2% real growth annually above inflation of 0.7% with total increase of CHF 17.2 million Other regular income: CHF 15.0 million with a decrease of CHF 2.0 million Surplus: Zero as compared to CHF 9.2 million in previous budget –Jointly funded voluntary resources (IPCC, WCRP, GCOS) of CHF 33.0 million

4. 3. Budget 2012-2015: programme details 4 Budget priorities –GFCS – additional CHF 2.4 million; no new staff, start-up funding for new deliverables –Capacity building - additional CHF 2.7 million; no new staff –Observation systems – additional CHF 0.9 million; one staff for WIGOS and balance for non-staff –Disaster mitigation – additional CHF 1.6 million; one new staff and remaining for non-staff From Strategic Plan –8 Expected Results – previous 11 Expected Results –27 Key Outcomes (KOs) with Key Performance Indictors (KPIs) –Programmes by Expected Results –Deliverables: lowest programmatic entity

5. 4. Budget reductions: implications Option 1 Zero Real Growth (ZRG) budget of CHF 254.2 million: inflation adjustment of 0.7% annually of CHF 4.4 million (decrease of CHF 12.8 million compared to budget proposal). –Reduction in maintenance of building from CHF10.0 by CHF 5.9 million. –No significant contribution to GFCS –WIS and WIGOS will be affected –Reduction in the linguistic and publishing services Option 2 Zero Nominal Growth (ZNG) budget of CHF 249.8 million: no change compared to previous financial period (further decrease of CHF 4.4 million compared to Option 1). –Introduced across Expected Results

6. 5. Concept of integrated budget Allows for priority setting on the use of all WMO resorces, including assessed and voluntary funding Enhances the resource base for core activities by closing the gap in funding mechanism between assessed and ad hoc voluntary funding: stable, predictable and possibly multi-year voluntary funding Introduces priorty setting, result-based planning and monitoring of voluntary contributions as part of the regular budget process Involves total membership in priority setting; allows potential donors to earmark voluntary funding as part of result-based budget process

7. 6. Major Initiatives 5 Major Initiatives: GFCS; capacity building; observation systems; disaster risk reduction; communication Total resource framework of CHF 142.0 million, including: –Anticipated voluntary resources of CHF 76.0 million (compared to CHF 80.3 million for 2008-2011) –Additional voluntary of CHF 66.0 million

8. 7. Arrangement for voluntary funding in UN system UNEP: voluntary indicative scale of contributions (VISC) for Environment Fund UNICEF, UNFPA, UNDP: Multi-year funding frameworks (MYFFs) – four year cycle IFAD, Global Fund: Negotiated replenishment Most agencies: pledging events targeted to high priority initiatives Partnership agreement (or Framework Agreements) between organization and funding organization to streamline and consolidate funding to priority activities within the approved programme

9. 8. Possible modalities for WMO Simple arrangement based on current practise Major Initiatives submitted for voluntary funding together with pledging component Consultations with Members at the policy and technical levels to prepare for consideration Funding targets set by Congress and Executive Council Pledging event as part of the Congress and Executive Council session to ensure institutional visibility and widest participation Financial contributions linked to results and programme performance Subsequent funding commitments compatability with budgetary cycles of donors Implementation in accordance with available pledges/funding Active participating of developing countries

10. 9. UNEP’s Environment Fund experience 2009 –Pledged: USD 85.6 million by 99 countries –Paid: USD 79.8 million 2010 –Pledged: USD 18.5 million by 44 countries –Paid 2010: USD 0.8 million Systematic fund-raising provides for predictable and stable implementation

11. 10. Annexes Annex A: list of meetings Annex B: budget by organizational entities; not strictly required under RBB but provides additional transparency; new tables are introduced presenting budget by Expected Result and Organisational Entity Annex C: Presentation of support budget apportioned to Expected Results (REM, Common Services, Procurement and Travel, Payment of Loan and Joint Costs)

12. 11. Additional: ZNG for 16 years Maintain central coordination function: –increased Executive Council subsidiary meetings with cost increase offset through reduction of duration of meetings; –maintained expert staff at around 260-270 while decreasing non- staff component (staff component increased from 65% to 75%) Reduction in number of published titles Introduction of new initiatives (risk reduction programme; expansion of oversight function including External Auditor, Audit Committee, IOO; expansion of language services) Accommodating increase in mandatory costs (building maintenance, mandatory contribution to inter-agency coordination)