The Hyde UN Reform Act of 2005
H.R. 2745

On June 17, 2005, the House of Representatives passed the Hyde UN Reform Act of 2005 (H.R. 2745), by a vote of 221 to 184. The legislation, which was proposed by Rep. Henry J. Hyde (R, IL) and co-sponsored by Mike Pence (R, IN), stipulates requirements for reform at the United Nations for the next two to three years. The bill’s most controversial sections are based upon three main provisions:

1. The U.S. will be mandated to withhold 50% of its dues  to the UN unless the UN implements 39 reforms detailed in the Act by 2007;

2. The Act would require changing funding for several UN programs from an assessed to a voluntary basis;

3. The Act will prohibit the expansion or creation of any new peacekeeping missions until specific reforms have been implemented, separate from the 39 reforms demanded within the next two years.

Below is a breakdown of these provisions as well as the rest of the Hyde UN Reform Act of 2005.

Beginning in 2008 H.R. 2745 calls for the withholding of $100 million a year in U.S. contributions to the UN until 18 UN programs change from a “assessed” to “voluntary” budget. As many as 17 organizational programs would see their funding cut in half pending their shift to voluntary funding. Among those areas effected by this budget reform would be:
 

Economic and Social Affairs	Crime prevention and Criminal Justice
Least-Developed Countries	International Drug Control
Landlocked Developing Countries and Small Island Developing States	Economic and Social Development in Africa
United Nations Support for the New Partnership for Africa's Development	Economic and Social Development in Asia and the Pacific
Trade and development	Economic Development in Europe,
International Trade Center UNCTAD/ WTO	Economic and Social Development in Latin America and the Caribbean
Environment and Human Settlements	Regular Program of Technical Cooperation
Protection of and Assistance to Refugees	Palestine Refugees.

Funding removed from these programs is redirected to “eligible organizational programs” which are specified as programs relating to internal oversight, human rights, and humanitarian assistance.

The Hyde Act also mandates 20 percent cuts in Public Affairs, General Assembly and conference services for fiscal year 2006, and 25 percent cuts for fiscal year 2007. These funds will also be redirected to the “eligible organizational programs.” In addition, the Act mandates that the President direct the UN Ambassador to withhold United States support for the UN budget should these reductions not be implemented by the 2008-2009 biennial period.

Failure of the UN to adopt any of the above reforms will trigger a 50 percent withholding of U.S. contributions to the UN.

One of the driving factors behind the Hyde Act is the introduction of accountability mechanisms in the UN system. Hyde mandates the creation of an Independent Oversight Board (IOB), which would be independently funded and would have extensive authorization to initiate investigations into mis-management and misconduct. In addition, the Hyde Act would:

• Establish procedures for providing “whistle-blower” status and employment protection for all employees of the United Nations;

• Establish an independent United Nations Office of Ethics (UNOE), to implement - and make public - an annual financial disclosure process for the UN and specialized agency staff.

• Establish a  Chief Operating Officer (COO) position to formulate general policies and programs for the United Nations in consultation with the Secretary-General, Security Council and General Assembly.

Failure to create and implement these reforms would result in the withholding of 50% of U.S. funding to the United Nations.

The Hyde Act mandates the creation of a new office in the Department of Peacekeeping Operations, tasked with investigating, auditing, and monitoring operations. In addition, the Hyde Act specifies that the U.S. will withhold funds for any expansion or creation of new peacekeeping missions unless specific reforms have been implemented. These reforms include:
 

A binding, uniform code of conduct has been adopted	All personnel have been trained on the code
A centralized database has been created that tracks misconduct among personnel and;	All peacekeeping operations have an outreach program to explain the obligations of the code
All personnel have signed an oath on the code	An independent OIOS investigation unit is created to monitor operations.

• Under Hyde the U.S. must oppose the establishment of new peacekeeping operations or the expansion of existing operations pending the adoption of these reforms

• However, Hyde does not allocate any funds for these proposed reforms.

The Hyde Act would require the U.S. to withhold a portion of its yearly UN dues, equal in amount to the annual UN budget for any Treaty Body to which the U.S. is not a party. This provision is seemingly designed to withhold funding from the Convention on the Elimination of Discrimination against Women (CEDAW) Committee

If enacted, H.R. 2745  Member States would be prohibited from serving on any human rights body if they had

• Failed to uphold the values embodied in the Universal Declaration of Human Rights;

• Are subject to sanctions by the Security Council; or under a Security-Council mandated investigation for human rights abuses;

• Are currently, or have been within 3 years, subject to ‘naming and shaming’ country-specific resolutions

In addition, the Hyde Act stipulates that no UN human rights body have a standing agenda item that relates only to one country or region.

Failure of the UN to adopt any of the above reforms will trigger mandating a 50 percent withholding of U.S. contributions to the UN.

The Hyde Act requires the establishment of a Democracy Fund at the UN. The Democracy Fund would be administered by Member States of the United Nations Democracy Caucus and would use its financial accounts to provide grants and assistance for emerging democracies. Membership is determined by a set of criteria which Hyde sets as

1. States that are not ineligible for membership on any UN human rights body,

2. States that are determined by the Secretary of State to be emerging democracies or democracies in transition.

Hyde also states that it will be U.S. policy to pay for the Democracy Fund by transferring U.S. contributions from the regular assessed budget of the UN.

Certification by the Secretary of State that the above-mentioned reforms are in place is required or, withholding of dues applies.
 

Updated August 9, 2005