Revision of UNDG standard legal agreements for pass-through

UNDG-Donor meeting on Joint Funding New York, 18 November 2014]

Revision UNDG standard legal agreements for pass-through arrangement

What is the scope of the exercise?

- which documents need to be changed?

- what type of pooled funds are affected?

What drives the changes?

What donor comments have already been taken on board?

What is the process moving forward?

Scope: Coherent package of revised standard legal agreements and UNDG Guidance

Coherent Package

Scope: for about 1 billion per year in deposits for UN Interagency Pooled Funds

> 1.5 billion

0.87 billion used SAA

UN SECRETARIAT established UN FUNDs(estimated: 600 million)

ERFs Others(450 mill) (100 mill) - mineaction

- human security- etc

UN SECRETARY GENERAL FUNDs &UN SECRETARIAT established UN MDTFs(estimate: 480 million) Others

- PBFCHFs - SEFA

- etc

UNDG established UNDG MDTFs(estimate: 170 million)

UNDG Joint Programmes (pass-through)(estimate: 220 million)

2013 estimated figures

CERF

What drives the changes?

Draft revised MOU & SAA

New guidance on Joint

Programmes, DaO (SOPs) &

thresholds

UNDG experience with

pass-through arrangements

QCPR and Executive Board

decisions

Donor comments 2010 – 2013

Inter-agency work on joint

audit & investigations

Incorporating donor comments

Strengthened results

reporting

Review or evaluation by

donor

Sound risk management

Counter terrorism

Fraud & corruption Audit

Disclosure of agreement

Transparency

Due diligence

SAA not a treaty

Subject to Parliamentary appropriation

Draft 2.0 revised MOU

& SAA

Process for revising standard legal agreements for pass through

Draft 2.0 revised

MOU/SAA

Draft 5.0 revised

MOU/SAA (annotated)

Q1 2015: Final

revised MOU/SAA

Process with 6 UN inter-agency groups & >10 UN entities

Process with contributing partners

Leverage of individual partner comments on SAA in pooled funding context

40 billionUN system wide activities (operational + normative + peacekeeping)

18 billionUN Operational Activities - Non-core

UN pooled funds using SAA

partner

1 billion

Propose process with contributing partners (1)

UNDG starting points

• Value added inter-agency pooled funds for all parties

• Revision existing SAA / MOU, not starting from zero

• Legal agreements complemented by UNDG guidance

• Ongoing KM and continuous improvements

Principles guiding process

• Partnership * Efficient / time bound

• Participation * Transparent

• Consensus * Results-focused

Proposed process with contributing partners (2)

Proposed process with timeline (for discussion):

1. Up to 30 November: receive written comments from donors

2. December: establish small working group (ca. 10 people, 5 / 5)

3. December – early January: consolidation of donor comments by donor member(s) in working group

4. December: UN reaches out to some emerging donors

5. Week 13 January: face to face (or virtual) meeting of working group

6. Late January: version 6.0 SAA/MOU circulated for fatal flaw comments, with “parking lot” for inclusion in UNDG guidance

7. February: version 7.0 SAA/MOU finalised for UNDG approval