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Title II — Transparency and Accountability for United States Contributions to the United Nations

H.R. 3155 · 113th Congress · Sep 19, 2013 · Lineage

II Transparency and Accountability for United States Contributions to the United Nations

Sec. 201 Findings

Congress makes the following findings:
(1)
As underscored by continuing revelations of waste, fraud, and abuse, oversight and accountability mechanisms within the United Nations system remain significantly deficient, despite decades of reform attempts, including those initiated by Secretaries General of the United Nations.
(2)
Notwithstanding the personal intentions of any Secretary General of the United Nations to promote institutional transparency and accountability within the United Nations System, the Secretary General lacks the power to impose far reaching management reforms without the concurrence of the General Assembly.
(3)
Groupings of Member States whose voting power in the General Assembly significantly outpaces their proportional contributions to the United Nations system have repeatedly and successfully defeated, delayed, and diluted various reform proposals that would have enabled more detailed oversight and scrutiny of United Nations system operations and expenditures.
(4)
To an unacceptable degree, major donor states, including the United States, lack access to reasonably detailed, reliable information that would allow them to determine how their contributions have been spent by various United Nations system entities, further contributing to the lack of accountability within the United Nations system.

Sec. 202 Definitions

In this title:
(1)
Transparency certification— The term Transparency Certification means an annual, written affirmation by the head or authorized designee of a United Nations Entity, provided to the Department of State, that the Entity will cooperate with the Department of State and Congress, including by providing the Department of State and Congress with full, complete, and unfettered access to Oversight Information as defined in this title.
(2)
Oversight information— The term Oversight Information includes—
(A)
internally and externally commissioned audits, investigatory reports, program reviews, performance reports, and evaluations;
(B)
financial statements, records, and billing systems;
(C)
program budgets and program budget implications, including revised estimates and reports produced by or provided to the Secretary General and the Secretary General’s agents on budget related matters;
(D)
operational plans, budgets, and budgetary analyses for peacekeeping operations;
(E)
analyses and reports regarding the scale of assessments;
(F)
databases and other data systems containing financial or programmatic information;
(G)
documents or other records alleging or involving improper use of resources, misconduct, mismanagement, or other violations of rules and regulations applicable to the United Nations Entity; and
(H)
other documentation relevant to the oversight work of Congress with respect to United States contributions to the United Nations system.
(3)
Accountability certification— The term Accountability Certification means an annual, written affirmation by the head or authorized designee of a United Nations Entity provided to the Secretary of State that the Entity—
(A)
provides the public with full, complete, and unfettered access to all relevant documentation relating to operations and activities, including budget and procurement activities;
(B)
implements and upholds policies and procedures to protect whistleblowers;
(C)
implements and upholds policies and procedures to require the filing of individual annual financial disclosure forms by each of its employees at the P–5 level and above and to require that such forms be made available to the Office of Internal Oversight Services, to Member States, and to the public;
(D)
has established an effective ethics office;
(E)
has established a fully independent, autonomous, and effective internal oversight body;
(F)
has adopted and implemented, and is in full compliance with, International Public Sector Accounting Standards; and
(G)
has established a cap on its administrative overhead costs.

Sec. 203 Oversight of United States contributions to the United Nations System

(a)
Purpose— The purpose of this section is to enhance oversight of United States contributions to the United Nations System and the use of those contributions by United Nations Entities, in an effort to eliminate and deter waste, fraud, and abuse in the use of those contributions, and thereby to contribute to the development of greater transparency, accountability, and internal controls throughout the United Nations System.
(b)
Implementation—
(1)
In general— The Department of State shall collect and maintain current records regarding Transparency Certifications and Accountability Certifications by all United Nations Entities that receive United States contributions and submit that information for inclusion in the report required under section 207.
(2)
Notification— The Department of State shall keep the appropriate congressional committees fully and promptly informed of how United Nations Entities are spending United States contributions.
(3)
Referrals—
(A)
In general— The Secretary of State shall promptly report to the Attorney General and to the appropriate congressional committees when the Secretary of State has reasonable grounds to believe a Federal criminal law has been violated by a United Nations Entity or one of its employees, contractors, or representatives.
(B)
Notification— The Secretary of State shall promptly report, when appropriate, to the appropriate congressional committees, and to the Secretary General or to the head of the appropriate United Nations Entity, cases in which the Secretary of State reasonably believes that mismanagement, misfeasance, or malfeasance is likely to have taken place within a United Nations Entity and disciplinary proceedings are likely justified.
(4)
Confirmation of transparency by united nations entities—
(A)
Prompt notice by department of state— Whenever information or assistance requested from a United Nations Entity by the Department of State pursuant to a Transparency Certification is, in the opinion of the Secretary of State, unreasonably refused or not provided in a timely manner, the Secretary of State shall notify the appropriate congressional committees, the head of that particular United Nations Entity, and the Secretary General of the circumstances in writing, without delay.
(B)
Notice of compliance— If and when the information or assistance being sought by the Department of State in connection with a notification pursuant to subparagraph (A) is provided to the satisfaction of the Secretary of State, the Secretary of State shall so notify in writing to the appropriate congressional committees and the head of that particular United Nations Entity.
(C)
Noncompliance— If the information or assistance being sought by the Department of State in connection with a notification pursuant to subparagraph (A) is not provided within 90 days of that notification, then the United Nations Entity that is the subject of the notification is deemed to be noncompliant with its Transparency Certification.
(D)
Restoration of compliance— After the situation has been resolved to the satisfaction of the Secretary of State, the Secretary of State shall promptly provide prompt, written notification of that fact and of the restoration of compliance, along with a description of the basis for the Secretary of State’s decision, to the appropriate congressional committees, the head of that United Nations Entity, the Secretary General, and any office or agency of the Federal Government that has provided that United Nations Entity with any United States contribution during the prior 2 years.
(5)
Confirmation of accountability by united nations entities—
(A)
Prompt notice by secretary of state— Whenever a United Nations Entity that has provided an Accountability Certification is, in the opinion of the Secretary of State, not in full compliance with any or all of the provisions of that certification, the Secretary of State shall notify the appropriate congressional committees, the head of that particular United Nations Entity, and the Secretary General of the circumstances in writing, without delay.
(B)
Notice of compliance— If and when the United Nations Entity resumes full compliance with its Accountability Certification following the provision of the notification pursuant to subparagraph (A), the Secretary of State shall so notify in writing the appropriate congressional committees and the head of that United Nations Entity.
(C)
Noncompliance— If the United Nations Entity named in the notification in subparagraph (A) does not resume full compliance with its Accountability Certification to the satisfaction of the Secretary of State within 90 days of that notification, then the United Nations Entity that is the subject of the notification is deemed to be noncompliant with its Accountability Certification, and the Secretary of State shall provide prompt, written notification of that fact to the appropriate congressional committees, the head of that United Nations Entity, the Secretary General, and any office or agency of the Federal Government that has provided that United Nations Entity with any United States Contribution during the prior 2 years.
(D)
Restoration of compliance— After the situation has been resolved to the satisfaction of the Secretary of State, the Secretary of State shall promptly provide prompt, written notification of that fact and of the restoration of compliance, along with a description of the basis for the Secretary of State’s decision, to the appropriate congressional committees, the head of that United Nations Entity, the Secretary General, and any office or agency of the Federal Government that has provided that United Nations Entity with any United States contribution during the prior 2 years.
(6)
Reporting—
(A)
Reporting— In the report submitted by the Director of the Office of Management and Budget to Congress pursuant to section 207, the Secretary of State shall submit for inclusion a section that, among other things, includes a list and detailed description of the circumstances surrounding any notification of compliance issued pursuant to paragraph (4)(C) or (5)(C) during the covered timeframe, and whether and when the Secretary has reversed such finding of noncompliance.
(B)
Prohibited disclosures— Nothing in this subsection shall be construed to authorize the public disclosure of information that is—
(i)
specifically prohibited from disclosure by any other provision of law;
(ii)
specifically required by Executive order to be protected from disclosure in the interest of national defense or national security or in the conduct of foreign affairs; or
(iii)
a part of an ongoing criminal investigation.
(C)
Privacy protections— The Secretary of State shall exempt from public disclosure information received from a United Nations Entity that the Secretary of State believes—
(i)
constitutes a trade secret or privileged and confidential personal financial information;
(ii)
constitutes confidential personal medical information;
(iii)
accuses a particular person of a crime;
(iv)
would, if publicly disclosed, constitute a clearly unwarranted invasion of personal privacy; and
(v)
would compromise an ongoing law enforcement investigation or judicial trial in the United States.

Sec. 204 Transparency for United States contributions

(a)
Funding prerequisites— Notwithstanding any other provision of law, no funds made available for use as a United States Contribution to any United Nations Entity may be obligated or expended if—
(1)
the intended United Nations Entity recipient has not provided to the Secretary of State within the preceding year a Transparency Certification as defined in section 202(1);
(2)
the intended United Nations Entity recipient is noncompliant with its Transparency Certification as described in section 203(b)(4)(C);
(3)
the intended United Nations Entity recipient has not provided to the Secretary of State within the preceding year an Accountability Certification as defined in section 202(3); or
(4)
the intended United Nations Entity is noncompliant with its Accountability Certification as described in section 203(b)(5)(C).
(b)
Treatment of funds withheld for noncompliance— At the conclusion of each fiscal year, any funds that had been appropriated for use as a United States Contribution to a United Nations Entity during that fiscal year, but could not be obligated or expended because of the restrictions of subsection (a), shall be returned to the United States Treasury, and are not subject to reprogramming for any other use. Any such funds returned to the Treasury shall not be considered arrears to be repaid to any United Nations Entity.
(c)
Presidential waiver— The President may waive the limitations of this subsection with respect to a particular United States Contribution to a particular United Nations Entity within a single fiscal year if the President determines that failure to do so would pose an extraordinary threat to the national security of the United States and provides notification and explanation of that determination to the appropriate congressional committees.

Sec. 205 Integrity for United States contributions

(a)
Limitation—
(1)
No funds made available for use under the heading Contributions to International Organizations may be used for any purpose other than an assessed United States contribution to a United Nations Entity or other international organization.
(2)
No funds made available for use under the heading International Organizations and Programs may be used for any purpose other than a voluntary United States contribution to a United Nations Entity or other international organization.
(3)
No funds made available for use under the heading Contributions to International Peacekeeping Activities may be used for any purpose other than a United States contribution to United Nations peacekeeping activities, to the International Criminal Tribunal for the former Yugoslavia, or to the International Criminal Tribunal for Rwanda.
(b)
Treatment of funds withheld for noncompliance— At the conclusion of each fiscal year, any funds that had been appropriated for use as a United States contribution to a United Nations Entity during that fiscal year, but could not be obligated or expended because of the restrictions of subsection (a), shall be returned to the United States Treasury, and are not subject to reprogramming for any other use. Any such funds returned to the Treasury shall not be considered arrears to be repaid to any United Nations Entity.

Sec. 206 Refund of monies owed by the United Nations to the United States

(a)
Findings— Congress makes the following findings:
(1)
United States taxpayer funds overpaid to United Nations Entities and payable back to the United States sometimes remain in the hands of the United Nations because the United States has not requested the return of those funds.
(2)
Such funds have been paid into, among other United Nations Entities, the United Nations Tax Equalization Fund (TEF), which was established under the provisions of United Nations General Assembly Resolution 973 (1955), and which is used to reimburse United Nations staff members subject to United States income taxes for the cost of those taxes.
(3)
In recent years, the TEF has taken in considerably more money than it has paid out, with the United States apparently overpaying into the TEF by $52,200,000 in the 2008–2009 timeframe alone.
(4)
According to the United Nations Financial Report and Audited Financial Statements released on July 29, 2010, “As of 31 December 2009, an amount of $179.0 million was payable to the United States of America pending instructions as to its disposition.”.
(5)
That balance was allowed to accrue notwithstanding United Nations Financial Regulation 4.12, which states that any such surpluses “shall be credited against the assessed contributions due from that Member State the following year.”.
(6)
Allowing the United Nations to regularly overcharge the United States and to retain those overpayments, or to spend them on wholly unrelated activities, is a disservice to American taxpayers and a subversion of the Congressional budget process.
(b)
Statement of policy— It is the policy of the United States—
(1)
to annually instruct the United Nations to return to the United States any surplus assessed contributions or other overpayments by the United States to any United Nations Entity; and
(2)
to use the voice and vote of the United States to press the United Nations to reform its TEF assessment procedures to reduce the repeated discrepancies between TEF income and expenditures.
(c)
Certification and withholding— For each and every fiscal year subsequent to the effective date of this Act, until the Secretary of State submits to the appropriate congressional committees a certification that the United Nations has returned to the United States any surplus assessed contributions or other overpayments by the United States to any United Nations Entity, the Secretary of State shall withhold from the regular budget of the United Nations an amount equal to the amount of the funds that the United Nations has yet to return to the United States.

Sec. 207 Annual reports on United States contributions to the United Nations

(a)
Annual report— Not later than 90 days after the date of the enactment of this Act and annually for two years thereafter, the Director of the Office of Management and Budget shall submit to Congress a report listing all assessed and voluntary contributions of the United States Government for the preceding fiscal year to the United Nations and United Nations affiliated agencies and related bodies.
(b)
Contents— Each report required under subsection (a) shall set forth, for the fiscal year covered by such report, the following:
(1)
The total amount of all assessed and voluntary contributions of the United States Government to the United Nations and United Nations affiliated agencies and related bodies.
(2)
The approximate percentage of United States Government contributions to each United Nations affiliated agency or body in such fiscal year when compared with all contributions to such agency or body from any source in such fiscal year.
(3)
For each such contribution—
(A)
the amount of such contribution;
(B)
a description of such contribution (including whether assessed or voluntary);
(C)
the department or agency of the United States Government responsible for such contribution;
(D)
the purpose of such contribution; and
(E)
the United Nations or United Nations affiliated agency or related body receiving such contribution.

Sec. 208 Report on United Nations procurement practices

(a)
In general— Not later than 180 days after the date of the enactment of this Act and annually thereafter, the Secretary shall submit to the appropriate congressional committees a report on United Nations procurement reform.
(b)
Contents— The reports required under subsection (a) shall describe—
(1)
progress toward the goal of donor countries establishing a threshold number for procurement purposes, of which 50 percent of the procurement for donor programs over $1,000,000,000 shall utilize donor vendors;
(2)
the status of the amount and percentage of procurement at the United Nations through United States vendors; and
(3)
the status of examinations and investigations if companies on the Excluded Parties List System are receiving contracts through the United Nations, and the values of such contracts.