Financial and Administrative Committee (FAC) Report Fiscal Year 2003-2004

The FAC report for fiscal year 2003-2004 details committee meetings in Costa Rica and Brazil, focusing on the IAI's financial instability, the need for more proactive collection of Core Budget contributions, and the resolution of accounting issues that led to a 'qualified opinion' in the 2002/2003 audit. The committee also addressed administrative reforms, including the update of the Employee Handbook, the implementation of staff performance plans, and the review of a proposed 17.5% budget increase for 2004/2005, which the FAC urged the Director to reconsider.

• The FAC expressed concern regarding the IAI's financial state and urged the Director to be more proactive in collecting Core Budget contributions, suggesting a return to sending payment reminders to Member Countries followed by telephone follow-ups.
• The Independent Auditor's Report for the fiscal year ending June 30, 2003, received a 'qualified opinion' primarily due to a change in accounting principles from "Contribution Transactions" to "Exchange Transactions."
• External auditors (KPMG) identified a lack of clear costs, milestones, and timelines associated with individual contracts for CRN projects' activities, particularly regarding outyear commitments, and recommended the implementation of a cost accounting system.
• The FAC urged the Director to reconsider a proposed 17.5% budget increase for the 2004/2005 fiscal year, noting that a previous request for an 8% increase for 2003/2004 had not been approved.
• The committee recommended that translation costs for Executive Council (EC) and Conference of the Parties (CoP) meetings should no longer be covered by the Core Budget, but instead be paid by the host country.
• To address administrative gaps, the IAI contracted Huggard-Caine on March 23, 2004, to conduct a study comparing six IAI positions with equivalents in eight other organizations.
• The FAC requested that new employment contracts explicitly state that they can be terminated due to a lack of funds, given the institute's financial situation.

APA

Inter-American Institute for Global Change Research (2004). Financial and Administrative Committee (FAC) Report Fiscal Year 2003-2004. https://archive.iai.int/admin/site/sites/default/files/12_FAC2003-2004.pdf

Chicago

Inter-American Institute for Global Change Research. Financial and Administrative Committee (FAC) Report Fiscal Year 2003-2004. 2004. https://archive.iai.int/admin/site/sites/default/files/12_FAC2003-2004.pdf.

Wikipedia

{{cite report |author=Inter-American Institute for Global Change Research |title=Financial and Administrative Committee (FAC) Report Fiscal Year 2003-2004 |date=11 May 2004 |url=https://archive.iai.int/admin/site/sites/default/files/12_FAC2003-2004.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{interamericaninstituteforglobalchangeresearch2004financial, author = {{Inter-American Institute for Global Change Research}}, title = {{Financial and Administrative Committee (FAC) Report Fiscal Year 2003-2004}}, institution = {Inter-American Institute for Global Change Research}, year = {2004}, month = may, url = {https://archive.iai.int/admin/site/sites/default/files/12_FAC2003-2004.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }