Common use of AIDCP budget Clause in Contracts

AIDCP budget. Xx. Xxxx Xxx-Wade, of the Secretariat, presented Document MOP-23-06. The AIDCP has been in deficit for several years; the Secretariat has cut costs where possible, but there are fixed costs that cannot be re- duced, and the funds received are insufficient to cover costs. The Secretariat was therefore requesting a minimal increase of USD 1.55 per cubic meter of vessel well volume, from USD 14.95 to 16.15. If this were not approved, the IATTC could be asked to increase its share of the observer budget from 30% to 40%, in order to keep the program solvent. Several delegations stated that they could not approve the requested increase, and brought up the possibil- ity of reducing the coverage by observers from 100%. The European Union (EU) noted that this was a burden for the vessels that do not fish on dolphins, and that 100% coverage is not necessary for such ves- sels, and suggested that a requirement of 50% coverage would be suitable. Panama asked about the proportions of the observers’ work that are for the IATTC and the AIDCP, re- spectively, and Xx. Xxxxxxx responded that the IATTC has been calling upon observers to do more and more work, especially since observers report on compliance with IATTC measures. Mexico pointed out that dolphin-related matters are not as critically important as in the past, and sug- gested that coverage could be reduced by a greater use of Vessel Monitoring Systems (VMS) as an alter- native for verifying compliance. The United States acknowledged the success of the AIDCP, but noted that 100% observer coverage was a critical element of this success, and was not in agreement with reducing that level of coverage. Colombia asked whether the coverage by national programs could be increased and that organized by the Secretariat reduced; the Secretariat clarified that, because fixed costs would remain unchanged, this would not significantly affect the budget. Finally, the Parties did not approve the increase in vessel fees requested by the Secretariat, but decided that the efforts to reduce costs should continue.

AIDCP budget. Xx. Xxxx Xxx-Wade, of from the Secretariat, presented Document MOP-23-06again the AIDCP budget proposal for 2023, which was not adopted by consensus at the previous Meeting of the Parties held in Phoenix, Arizona, in July 2022. The AIDCP has been in deficit She recommended a US$ 3,386,800 budget and reiterated the Secretariat's recommendation to raise the com- pensation for several years; IATTC observers by US$ 10 for 2023 and 2024. This would entail increasing the Secretariat has cut costs where possiblevessel assessment from US$ 14.95 to US$ 15.95, but there are fixed costs that cannot be re- ducedis, and the funds received are insufficient to cover costs. The Secretariat was therefore requesting a minimal US$ 1 increase of USD 1.55 per cubic meter of vessel well volume. On the other hand, Xx. Xxx recalled the existence, as of 31 December 2021, of an accumulated surplus of US$ 2,430,492, as well as, as of 30 June 2022, of an accumulated amount of pending arrears of US$ 671,548 for outstanding vessel assessments from USD 14.95 Ecuador, Panama, and Venezuela. This presentation led to 16.15the following comments from the participants: • Regarding overdue assessment payments, Venezuela assured that it was taking action to pay in full the outstanding contributions of the nine vessels under its flag, understanding that the debt would remain even in the case of a change of flag. If this were not approvedThis AIDCP principle and practice should be formalized through a decision or resolution or the amendment of an instrument already in force. • Regarding the surplus, the IATTC could be asked to increase its share participants were generally interested in learning if it results from accu- mulated late payments of assessments in arrears or if it reflects savings in the implementation of the observer budget budget. It was clarified that essentially it is not a matter of savings but rather of the accumulation of overdue assessment payments. • Regarding the recommendation of additional compensation to observers, several delegations, just as in the previous meeting, stated their difficulty in accepting any increase in quotas, particularly due to the economic crisis they are facing. Some delegations reiterated their proposal for this increase to be taken from 30% the surplus. This was once again opposed by Mexico, which reminded attendees about its position to 40%not use the surplus to cover current expenses. Also, it recalled its proposal to use this surplus for a research project, such as the study of a potential cow-calf separation in dolphin populations. On the other hand, Nicaragua requested that more information be prepared on scenarios on how to cover the expense resulting from the proposed compensation, without excluding the potential use of the surplus for this purpose, in order to keep be able to make a decision at the program solvent. Several delegations stated that they could not approve next Meeting of the requested increase, and brought up the possibil- ity of reducing the coverage by observers from 100%Parties in 2023. The European Union (EU) noted that Meeting of the Parties agreed to convene a videoconference in December to discuss this was a burden issue based on the information requested by Nicaragua, including the possibility of partially using the surplus and also doing so for research purposes. Leaving aside the issues of surplus and additional compensation to observers for discussion at the videoconference meeting in December, the Meeting of the Parties approved the budget presented for the vessels that do not fish on dolphins, and that 100% coverage is not necessary for such ves- sels, and suggested that a requirement of 50% coverage would be suitable. Panama asked about the proportions of the observers’ work that are for the IATTC and the AIDCP, re- spectively, and Xx. Xxxxxxx responded that the IATTC has been calling upon observers to do more and more work, especially since observers report on compliance with IATTC measures. Mexico pointed out that dolphin-related matters are not as critically important as in the past, and sug- gested that coverage could be reduced by a greater use of Vessel Monitoring Systems (VMS) as an alter- native for verifying compliance. The United States acknowledged the success of the AIDCP, but noted that 100% observer coverage was a critical element of this success, and was not in agreement with reducing that level of coverage. Colombia asked whether the coverage by national programs could be increased and that organized by the Secretariat reduced; the Secretariat clarified that, because fixed costs would remain unchanged, this would not significantly affect the budget. Finally, the Parties did not approve the increase in vessel fees requested by the Secretariat, but decided that the efforts to reduce costs should continueamount indicated above.

AIDCP budget. XxXxx. Xxxx Xxx-Wade, of from the Secretariat, presented Document MOP-23MOP-35-0606 on the AIDCP budget. The She pointed out that the program had a surplus of $1,438,312 USD by December 31, 2016. This surplus should be regarded with caution because vessel assessments have not been increased in more than a decade and the AIDCP has been in operated with deficit for during several consecutive years; . For 2018, the Secretariat has cut costs where possiblerecommended a budget of $3,319,906 USD, but there are fixed costs that cannot be re- duced, and which includes the funds received are insufficient to cover costs. The Secretariat was therefore requesting a minimal increase contribution of USD 1.55 per cubic meter of vessel well volume, from USD 14.95 to 16.15. If this were not approved, the IATTC could be asked to increase its share of the observer budget from 30% to 40%, in order to keep the program solvent. Several delegations stated that they could not approve the requested increase, and brought up the possibil- ity of reducing the coverage by observers from 100%. The European Union (EU) noted that this was a burden for the vessels that do not fish on dolphins, and that 100% coverage is not necessary for such ves- sels, and suggested that a requirement of 50% coverage would be suitable. Panama asked about the proportions of the observers’ work that are for the IATTC and the AIDCP, re- spectively, and Xxcontributions per vessel established in Resolution A-13-01. Xxxxxxx responded An intense debate arose when Venezuela suggested that the IATTC has been calling upon current surplus should be used to increase the observers’ salaries. It was recalled that there is a shortage of observers because they tend to do more migrate to other jobs onshore with higher and more workfixed salaries. It was emphasized that, especially furthermore, the observers’ duties have increased since observers report on compliance with IATTC measures. Mexico pointed out they are requested to perform additional tasks that dolphin-related matters are not as critically important as in remunerated (for example, gathering data on infractions of the pastIATTC regulations, among others). There was an agreement on the need of the increase, but not on its terms. Some countries said the surplus should also be used to increase the salary of observers from national programs, not only of AIDCP observers. They were told that the surplus only corresponds to the AIDCP budget and sug- gested that coverage could be reduced by a greater use its observer program. Several coordinators of Vessel Monitoring Systems (VMS) as an alter- native for verifying compliancenational programs attending the meeting expressed their concern over the impact of only increasing the AIDCP observers’ salaries including the potential migration of observers from national programs to the AIDCP program. The United States acknowledged the success recalled that a proposal on observer safety at sea was still pending and mentioned that part of the AIDCP, but noted that 100% observer coverage was a critical element of this success, and was not in agreement with reducing that level of coverage. Colombia asked whether the coverage by national programs surplus could be increased and that organized by used to buy safety equipment for the Secretariat reduced; the Secretariat clarified thatobservers, because fixed costs would remain unchangedwhich, this would not significantly affect the budget. Finally, the Parties did not approve the increase in vessel fees requested as noted by the Secretariat, would cost approximately $450,000 USD, but decided only considering AIDCP observers, which generated another discussion on whether to use these resources for national observers as well. Since it was not possible to reach an agreement on this matter, it was agreed that the efforts to reduce costs should continuediscussion on the use of the surplus would be addressed once again during the 36th meeting of the Parties in October, based on specific proposals, including in terms of specific amounts and figures.

AIDCP budget. Xx. Xxxx Xxx, from the Secretariat’s staff, presented Document AIDCP-41-Wade01 AIDCP Budget. She noted that a budget of US$ 3,199,200 was requested for 2021. The minimum increase over 2020 results from the costs of on-board observers, mainly due to the need to increase their salaries since the last increase took place in 2014. Other factors include providing security equipment and training new observers. The current conditions of their salaries imply that there are not enough observers in view of the lack of interest in this job as compared to other better-paid jobs on land for biologists holding bachelor's degrees. Likewise, she reported that as of 31 December 2019 there was a surplus of US$ 2,144.07. She mentioned that as of 30 June 2020, there were seven vessels currently in the Regional Vessel Register with pending payments for 2012-2020 totaling US$ 438,528, of which US$ 254,859 correspond to the IATTC observer program, and the rest (US$ 183,669) to the two national programs (US$ 18,215 (ECU) and US$ 165,454 (VEN)). Colombia said it had estimated a larger surplus in 2020 due to savings from the pandemic resulting from fewer trips with observers and no payment for the Director since August 2020, as well as the lack of a face- to-face meeting. Likewise, it pointed out that when talking about increasing observer payments, the fact that the pandemic has impacted everyone must be taken into account, which has implied, for example, freezing public sector salaries in several countries. Finally, Colombia said it cannot accept the proposed budget increases. Nicaragua emphasized that salary raises are labor benefits supported by its delegation, but that resources should not be taken from the current surplus; rather, they should come from recurring resources to be sus- tainable. Any raise to observers' salaries must be a decision of the Parties and not just of the Secretariat, presented Document MOP-23-06. The AIDCP Director clarified that the decision to increase the budget has not yet been made and that the salary raise is a proposal to be considered, as always, by the Parties. However, it is essential to consider at least the increase in deficit the cost of living to decide on observers' salaries. The United States recalled that observer salaries have been discussed for several years; years before the Secretariat has cut costs where possiblepandemic. They support the increase in salaries, but there so the Secretariat's proposal must be carefully reviewed to grant it, since the Parties are fixed costs responsible for continuously providing sufficient funding to the program. Also, the fact that observers provide valuable information to the work of the Commission and that adequate salaries are required to maintain quality staff should be kept in mind. If the increase cannot be re- ducedsupported this time, and at the funds received are insufficient next meeting it should be considered with all the flexibility required to cover costs. The Secretariat was therefore requesting a minimal increase of USD 1.55 per cubic meter of vessel well volume, from USD 14.95 to 16.15. If this were not approved, the IATTC could be asked to increase its share of the observer budget from 30% to 40%, in order to keep the program solvent. Several delegations stated that they could not approve the requested increase, and brought up the possibil- ity of reducing the coverage by observers from 100%implement it. The European Union (EU) noted that this was a burden for supported the vessels that do not fish on dolphins, United States position and that 100% coverage is not necessary for such ves- sels, and suggested added that a requirement of 50% coverage would long-term solution must be suitablesought at the next meeting. Panama asked about In addition, it requested that a document with different options be prepared, as done for previous meetings. Mexico stated that the proportions surplus should be assigned to priority matters such as the dolphin abundance survey and supported what the delegations of the observers’ work that are for the IATTC United States and the AIDCPEuropean Union said. The Chairman commented that, re- spectivelydue to the limited duration of the meeting, and Xx. Xxxxxxx responded that he saw no possibilities to reach a consensus agreement on the IATTC has been calling upon observers budget increase, so he proposed to do more and more work, especially since observers report on compliance approve it with IATTC measures. Mexico pointed out that dolphin-related matters are not as critically important the same amount as in the past2020, and sug- gested that coverage could be reduced is, US$ 3,199,200. This budget was approved by a greater use of Vessel Monitoring Systems (VMS) as an alter- native for verifying compliance. The United States acknowledged the success of the AIDCP, but noted that 100% observer coverage was a critical element of this success, and was not in agreement with reducing that level of coverage. Colombia asked whether the coverage by national programs could be increased and that organized by the Secretariat reduced; the Secretariat clarified that, because fixed costs would remain unchanged, this would not significantly affect the budget. Finally, the Parties did not approve the increase in vessel fees requested by the Secretariat, but decided that the efforts to reduce costs should continueconsensus.