1 OAS Quarterly Resource Management and Performance Report June 30, 2013 Secretariat for Administration and Finance

2 New Quarterly Report Format for 2013: -Focus on Performance: dedicated section on programmatic results by subprogram. -Focus on variances: Tables highlighting budgetary variances -Focus on budgetary impact of human resource actions. Introduction

Programmatic Results by Chapter Las metas operativas fueron seleccionadas por las áreas entre las incluidas en el Programa Presupuesto Expected results for the mandates that correspond to the operative goals are being reviewed by the technical areas based on the draft submitted to the CAAP The operational targets were selected by the areas from the ones included in the Program Budget 2013 Total of programmed resources from all funds Compliance with operational goals until March 31, 2013 Compliance expected by the end of the year

4 Budget Execution Highlights Budget Execution by Fund (January 1, 2013 to June 30, 2013)

5 Budget Execution Highlights Explanations to Budget Execution by Fund (January 1, 2013 to June 30, 2013) Average execution for first two quarters should be around 50% -Regular Fund (51.8%): Slight over execution primarily because common costs charged at the beginning of the year. -ICR (55.7%): Over execution primarily due to actual personnel expenditures exceeding approved budget amount, due to required reclassifications, special duties assignments, benefits and tax reimbursement expenditures. -Specific Funds (37.2%): Execution level during the first semester of 2013, although under 50%, consistent with prior year.

6 Budget Execution Highlights Budget Execution by Programmatic Pillar and Fund (January 1, 2013 to June 30, 2013)

7 Budget Execution Highlights Explanations to Budget Execution by Programmatic Pillar and Fund (January 1, 2013 to June 30, 2013) Average execution for first two quarters should be around 50% -Human Rights (52.7%): Over execution mainly due to providing 3 rd quarter subsidy from the Regular Fund to the Inter-American Court of Human Rights in late June. -Support for the Member States (55.5%): Over execution mainly due to the timing of adjustments in execution to comply with the reduced budgetary level in Policy Direction (56.6%): Over execution mainly due to costs related to IPSAS requirements definition regarding current enterprise system. -Infrastructure and Common Costs (58.6%): Over execution mainly due to annual common costs charged during the first quarter of the year.

8 Regular Fund Transfers between Chapters During the 3 rd quarter of 2013, the General Secretariat will proceed to make any required transfers between chapters to address over or under execution.

9 Financial Highlights Regular Fund Statement of Changes in Fund Balance (comparative) *Amount to be financed by quota receivables from member states and other income. *

10 Financial Highlights Explanations to the Regular Fund Statement of Changes in Fund Balance Increased 1 st semester income in 2013 compared to 2012: -Arrear quota payments of USD 4.7 million received during 1 st semester 2013 compared to USD 0.2 million in Significant improvement due to earlier quota payments. Increased 1 st semester expenses in 2013 compared to 2012: -Slightly higher expenses mainly in the non-personnel category (e.g., large number of meetings, timing of subsidy payments, etc.) Obligations include personnel execution projected through the remainder of the year.

11 Financial Highlights Indirect Cost Recovery Fund Statement of Changes in Fund Balance (comparative)

12 Financial Highlights Explanations of the Indirect Cost Recovery Fund Statement of Changes in Fund Balance Lower expenses -For 2013, the ICR Fund had lower payroll expenses than the previous year due to lower number of posts. Increased obligations -Obligations refer to payroll commitments through year-end. -1 st semester 2013 obligations increased compared to 2012 mainly because there was a change in the length of the employee contracts, from 6 to 12 months. Negative cash balance -The negative cash balance is due to timing. It will be reverted in the upcoming months when ICR Fund continues to receive revenue.

13 Financial Highlights Specific Funds Statement of Changes in Fund Balance (comparative)

14 Financial Highlights Explanations to the Specific Funds Statement of Changes in Fund Balance -Higher income during 1 st semester of 2013 mainly due to new contributions from the European Union to OAS/MAPP and Fund for Peace, as well as new contributions from other institutions to programs related to integral development. -Overall activity in 2013 is comparable to activity in 2012.

Quota Collection (comparative) (as of June) (in USD) Financial Highlights 15

16 Financial Highlights

17 Financial Highlights

18 Financial Highlights Liquidity Risk Assessment Actual Cash Balance to June 30, 2013 and Projections through December 31, Satisfactory cash balances for first three quarters of Cash balance concern for the months of October and November. -The General Secretariat is addressing cash needs in 4 th quarter through conversations with Member States.

19 Human Resources Highlights DHR Highlights of this quarter: 7 new hires and 9 separations in the regular fund during the 2nd quarter of posts in the Regular fund announced in the 2nd quarter for competition under Art. 44 of the General Standards. 5 posts in the Regular fund announced in the 2nd quarter for competitive recruitment under Call for Resumes process. 3 new hires and 10 separations from service in the Specific funds during the 2nd quarter of posts in the Specific funds and ICR announced in the 2nd quarter for competition under Art. 44 of the General Standards. 1 post in the Specific funds announced in the 2nd quarter for competitive recruitment under Call for Resume process. Conclusion of the Continuing Contract Competition; 29 continuing contracts awarded out of 37 applicants