Preparatory Commission for the                                   PC-XIV/A/3           
Organisation for the Prohibition                                 25 July 1996         
of Chemical Weapons                                              Original:  ENGLISH   
                                                                                      

(22 - 26 July 1996)

WORKING GROUP A

REPORT

1. Introduction

1.1 Working Group A, under the chairmanship of Ambassador Carlos Enrique Nones of Venezuela, held four meetings from 22 - 25 July 1996.

1.2 Working Group A adopted its agenda as contained in PC-XIV/A/2.

2. Administrative, Financial, and Personnel Matters

Working Group A received the Fifth Report of the Expert Group on Administrative, Financial, and Personnel Matters (PC-XIV/A/WP.2). The Report was presented by Mrs. Deepa Gopalan Wadhwa of India on behalf of Mr. Sarvajit Chakravarti of India, the outgoing Chairman of the Expert Group.

3. Data Systems

Working Group A received the Fifteenth Report of the Expert Group on Data Systems (PC-XIV/A/WP.3), and recommended that the Commission note the conclusions and recommendations contained in it. The Report was presented by Mr. András Nagy of Hungary, the Chairman of the Expert Group.

4. OPCW Headquarters Agreement

Working Group A received the Fourth Report of the Expert Group on the OPCW Headquarters Agreement (PC-XIV/A/WP.5). The Report was presented by Professor Natalino Ronzitti of Italy, the Chairman of the Expert Group.

5. Formal Consultations on Visa Matters

5.1 Working Group A received the Report of the Formal Consultations on Visa Matters (PC-XIV/A/WP.7). The Report was presented by Mr. Jan Zaadhof of the Netherlands, the Chairman of the Consultations.

5.2 Working Group A considered the visa procedure for inspector candidates and the visa procedures for OPCW inspectors and inspection assistants annexed to PC- XIV/A/WP.7 and agreed on the following amendments:

(a) Annex, paragraph 1, first bullet, lines 3 and 4: delete the words "but not later than by mid June 1996";

(b) Annex, paragraph 5, line 6:

(i) insert the word "the" before the words "States Parties"; and

(ii) after the sentence concluding "of the Convention." insert the following new sentence "It is understood that this activity is undertaken to facilitate the process of visa issuance and is separate from the procedures that are obligatory under paragraph 1 of Part II A of the Verification Annex.

5.3 Working Group A forwarded to the Commission for approval the visa procedure for inspector candidates and the visa procedures for OPCW inspectors and inspection assistants annexed to PC-XIV/A/WP.7, as amended in subparagraph 5.2 above.

5.4 Working Group A requested the Secretariat:

(a) to approach the United Nations Secretariat to clarify the financial and legal conditions under which the OPCW could acquire, purchase and use the United Nations Laissez-Passer for its officials and to report back to the next round of the Formal Consultations on Visa Matters on this; and

(b) to solicit the views of the International Civil Aviation Organisation (ICAO) on visa procedures for the captain and crew of a non-scheduled aircraft.

6. Programme of Work and Budget and Finance Group

6.1 Working Group A received the Thirteenth Report of the Expert Group on Programme of Work and Budget (PC-XIV/A/WP.6). The Report was presented by Mr. Arturo Hernandez-Basave of Mexico, the Chairman of the Expert Group.

6.2 Working Group A forwarded the following recommendations to the Commission for consideration and approval:

On the basic parameters for the Budget of the Commission for 1997

(a) that the basic parameters for the Budget of the Commission for 1997, as outlined in the Annex to PC-XIV/A/WP.6, be endorsed;

On budgetary issues related to the transition from the Preparatory Commission to the OPCW

(b) that the Secretariat be requested to update the Secretariat background paper dated 2 May 1996 on this issue, by taking into account the comments of the Expert Groups on Programme of Work and Budget and on Administrative, Financial and Personnel Matters, as well as the relevant paragraphs of the Report of the Tenth Meeting of the Finance Group dealing with budgetary matters, and to present the updated paper to the next meeting of the Expert Group on Programme of Work and Budget for further review; and

On the Draft First OPCW Budget

(c) to request the Executive Secretary to submit to Member States a preliminary Draft First OPCW Programme and Budget well in advance of the meeting of the Finance Group during the next intersessional period, taking into account discussions on this issue in the Expert Group on Programme of Work and Budget and in Working Group A, as well as the possible budgetary implications of unresolved political issues.

7. Report on consultations conducted by the Chairman of Working Group A during the intersessional period

Working Group A received the notes by its Chairman dated 8 July 1996, regarding the consultations conducted by him on 27 June 1996.

8. Draft plan of activities under Working Group A for the period August - December 1996

Working Group A amended and approved the plan of activities and the listing of documents for meetings under the purview of Working Group A as contained in the "Draft Plan of Activities of the Expert Groups and Task Forces under Working Groups A and B and of the Committee on Relations with the Host Country for the Period August - December 1996", and referred the amended plan of activities and listing of documents to the Commission for approval.

9. Any other business

Transfer of funds

9.1 Working Group A recommended that the Commission, in the light of the prevailing circumstances, delegate to this Working Group the authority to decide during the next intersessional period on proposals concerning inter-programme transfer of funds. Any such inter-programme transfer shall be in conformity with the Financial Regulations and Rules and shall be in respect of priority underfundings not covered by intra-programme transfers. Working Group A further recommended that the Commission request the Executive Secretary to prepare a revised and updated version of PC-XIV/2 for consideration. The Working Group requested the Commission to allocate time for the Group to meet on this before 1 October 1996.

1995 audited financial statements and reports of the External Auditor

9.2 In accordance with Financial Regulation 12.10, Working Group A forwarded the following documents to the Commission, all of which are contained in PC-XIV/4 and Corr.1: the audited 1995 financial statements of the Commission and the Provident Fund; the External Auditor's reports on the 1995 financial statements of the Commission and the Provident Fund; the related comments contained in paragraphs 6 and 7 and subparagraphs 12.1 and 12.3(a) of the Report of the Tenth Meeting of the Finance Group (PC-XIV/A/WP.4), and the response of the Executive Secretary to the Report of the External Auditor on the 1995 Financial Statements of the Preparatory Commission and to the related comments of the Finance Group.

9.3 Working Group A recommended that the Commission note the opinion of the External Auditor that the financial statements of the Commission present fairly its financial position as at 31 December 1995 (Part I of PC-XIV/4 and Corr.1).

9.4 Working Group A recommended that the Commission note the opinion of the External Auditor that the financial statements of the Provident Fund present fairly its financial position as at 31 December 1995 (Part II of PC-XIV/4 and Corr. 1).

9.5 Working Group A recommended that the Commission note the recommendations of the Finance Group regarding the reports of the External Auditor on the 1995 financial statements of the Commission and the Provident Fund (paragraphs 6 and 7 and subparagraphs 12.1 and 12.3(a) of PC-XIV/A/WP.4).

9.6 Working Group A recommended that the Commission note the statement of the External Auditor with regard to the last sentence contained in subparagraph 12.1 of Section II of his Report on the 1995 Financial Statements of the Commission (Part I of PC-XIV/4), that the Ministry of Foreign Affairs of the Host Country had not provided any recommendation on the Q&R company to the Secretariat.

9.7 Working Group A recommended that the Commission note the comments of the Executive Secretary, as contained in Part III of PC-XIV/4 and Corr.1, on the reports of the External Auditor on the 1995 financial statements of the Preparatory Commission and the Provident Fund. These comments indicate which steps will be taken to implement the various recommendations contained in the reports of the External Auditor, who will review progress in these areas in the course of the audit of the 1996 accounts. Working Group A recommended that the Commission request the Executive Secretary to report periodically on the implementation of the External Auditor's recommendations.

Matter arising from Working Group B

9.8 In the light of subparagraph 2.2 of the Report of Working Group B (PC-XIV/B/7 and Corr.1) Working Group A requested the Expert Group on Administrative, Financial, and Personnel Matters to elaborate its recommendations concerning the issue of possible misconduct by members of an inspection team, taking into account the discussions in the Expert Group on Challenge Inspection concerning possible misconduct by members of an inspection team during a challenge inspection.

10. Conclusion of meeting

The Report of Working Group A was adopted, and the meeting concluded at 17:30 on 25 July 1996.

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