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3.

In accordance with Anicle IX of the Agreement, amendments to the Agreement must first be approved by the Ccil of the Organization and accordingly they are now being submitted by the Director-neral for review by the CCLM before being considered by the Eighty-fourth Session of the FAO Council in November 1983. In addition, paragraph 3 of Article IX of the Agreement provides that "Notice of any proposed amendment to this Agreement shall be transmit to the Contracting Governments by the Director-General

than the time when the agenda of the session of the Council considered is despatched.' Considered is despatched." In compliance with the above provision, a copy of the A, ..ment, setting out the proposed amendments has been sent to Contracting Governments ! the Director-General.

of the Organization not late. at which the matter is to be

II.

AMENDMENTS TO THE AG: !

4. In order to assist tl. the Committee will find in ; drafting of the amendments to 39, the CCL will find of the proposed amendments.

ENT

CLM in its review of the proposed amendments to the Agreement, agraphs 5 to 33 below some general observations on the

commentaries on the specific amendments. In paragraphs 34 comments on the procedure which governs the entry into force

5. At the outset, it would seem appropriate to make certain general observations which apply to the drafting of the amendments which were submitted to the Commission and endorsed by it. Provision for mandatory contributions raises a number of specific, though closely inter-related, questions, the principal ones being:

6.

(a)

(b)

by whom are the contributions to be determined;

according to what procedure are the contributions to be determined;

(c) how are the contributions to be apportioned among the parties;

(d) how are the contributions to be administered;

(e) what are the consequences, if any, of non-payment of contributions.

The amendments are designed to include only those provisions which, (1) appear to be essential to give the Commission an appropriate framework within which to take such further decisions as may prove necessary in connexion with its wish to obtain funds through mandatory contributions; or (ii) are required under FAO's Basic Texts.

7.

The amendments also take into account the precedents set in the Agreements establish- ing other bodies under Article XIV of the FAO Constitution in which provision is made for mandatory contributions by the parties and the experience of the bodies set up under these Agreements.

8. It should also be pointed out here that it is not practicable to draft the amendments in a way which would permit all the parties to know in advance the precise financial consequences that the introduction of mandatory contributions would have for them. Never- theless, the order of magni le of each party's contribution normally depends on two factors: the level of the Cission's budget and the method used to apportion it between the parties.

9..

With respect to the spa ific amendments to the Agreement set out in Annex I, the principal new provisions art contained in two new articles entitled "Finance" and "Expenses" which are to be inserted between the present Articles II and III and be numbered III and IV: respectively. The new article on "Expenses" would, inter alia, replace paragraph 5 of the present Article II. Amendments are also suggested to paragraphs 1 and 2 of the present Article II (consisting of a new sub-paragraph (d) to paragraph 1 and the addition of a sentence to paragraph 2) and to Article XII (consisting of a new paragraph 4). The remaining amendments relate exclusively to the renumbering of Articles or paragraphs.

10. The CCLM may wish to note the following considerations and observations with respect to the proposed amendments which were also brought to the attention of the Commission at its Thirteenth Session.

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