VZCZCXYZ0000
OO RUEHWEB

DE RUEHTC #0661/01 1011158
ZNR UUUUU ZZH
O 111158Z APR 07
FM AMEMBASSY THE HAGUE
TO RUEHC/SECSTATE WASHDC IMMEDIATE 8798
INFO RUEAIIA/CIA WASHDC PRIORITY
RUCPDOC/DEPT OF COMMERCE WASHDC PRIORITY
RHEBAAA/DEPT OF ENERGY WASHDC PRIORITY
RUEKJCS/SECDEF WASHDC PRIORITY
RHEHNSC/NSC WASHDC PRIORITY
RUEKJCS/JOINT STAFF WASHDC PRIORITY

UNCLAS THE HAGUE 000661 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE FOR ISN/CB, VCI/CCB, L/ACV, IO/S 
SECDEF FOR OSD/ISP 
JOINT STAFF FOR DD PMA-A FOR WTC 
COMMERCE FOR BIS (GOLDMAN) 
NSC FOR LEDDY 
WINPAC FOR WALTER 
 
E.O. 12958: N/A 
TAGS: PARM PREL CWC
SUBJECT: CHEMICAL WEAPONS CONVENTION (CWC): WRAP-UP FOR THE 
PERIOD MARCH 26-APRIL 6 
 
This is CWC-30-07. 
 
-------------------- 
OPCW EQUIPMENT STORE 
-------------------- 
 
¶1. (SBU) Gary Mallard (Head, OPCW Laboratory) provided the 
Del with an update on this issue, which he recently raised 
with the Del.  Mallard initially had reported that there was 
consideration of moving the OPCW Equipment Store from under 
the Technical Support Branch (TSB) to the Operations and 
Planning Branch (OPB) within the Inspectorate.  Mallard 
subsequently was told by his supervisors that, given the 
scrutiny any such reorganization proposal would receive 
during the budget approval process, the move would not/not be 
given further consideration this year. 
 
-------------------------------------- 
MEETING WITH TS HEAD OF ADMINISTRATION 
-------------------------------------- 
 
¶2. (U) Del reps met with Ron Nelson, head of Administration, 
on March 28 to go over general admin issues.  Del reps noted 
that we hoped to provide good Amcit candidates for the P-5 
Head of Budget and Finance position and the P-5 Head of Media 
and Public Affairs position. Nelson said the number of people 
who had resigned from the Technical Secretariat has appeared 
to level-off after 11 people resigned in January.  According 
to Nelson, as of March 28, only 14 people had resigned so far 
this year.  (Note: Del rep got a slightly different picture 
from departing BFB chief Rick Martin who, after his last day 
at the TS, told us that the actually number of resignations 
as of March 28 was probably closer to 22.  End Note.) 
 
¶3. (U) On budget issues, Nelson told us that if the TS 
received a small payment from the U.S. in April-May and no 
additional payments from the U.S. or Japan, it would have to 
consider tapping the Working Capital Fund possibly as early 
as September-October. 
 
¶4. (U) Given the particular concern about the loss of 
highly-qualified inspectors to the tenure policy, del reps 
solicited Nelson's thoughts on possible solutions.  He 
outlined a few that he has considered, but said that none of 
these were particularly easy to sell to the Director General 
and, subsequently, to delegations. 
 
¶5.  (SBU) Del rep presented another option for consideration 
-- allowing the 3-7 year tenure clock to restart when a staff 
member receives a promotion.  Nelson thought the idea had 
merit for a number of reasons: 
(1) it would have the biggest impact on the group of most 
concern -- the Inspectorate; 
(2) it would be seen, nevertheless, as a general policy and 
not be perceived as selective or discriminatory or favoring 
just one group; 
(3) it would be a relatively small modification to the 
existing policy, even if its impact is far-reaching; and 
(4) it would provide the greatest benefit to the most-senior 
(P-5) inspection team leaders. 
 
¶6.  (SBU) Nelson noted that this would not necessarily 
relieve all of the pressure on the Inspectorate.  For 
example, if an inspector were hired at the P-3 level, 
subsequently promoted to P-4 at about the 2-year point in 
his/her contract (which is typical), and then not promoted 
further, the net result of the change would be a maximum 
increase in tenure for that inspector of two years.  However, 
even though a select group of inspectors make it to the P-5 
level and receive the greatest benefit from this change, we 
could still preserve the most experienced and, hopefully, 
best-performing inspectors.  Nelson was also quick to point 
out that he thinks that such a change would not be something 
the DG could do unilaterally but would need to bring before 
the EC.  That is not likely to happen before 2008.  He 
clearly was intrigued by the proposal and agreed to consider 
it further and share his thoughts with the Del. 
 
----------------------------------------- 
OIO/EXTERNAL AUDITOR REPORT CONSULTATIONS 
----------------------------------------- 
 
¶7. (U) Consultations were held by outgoing facilitator Rick 
Snelsire (U.S.) on March 27.  The facilitator went through 
the two documents, asking for clarification on only one item 
on the Office of Internal Oversight report.  He asked if the 
TS had found a solution to the problem of TS employees 
 
SIPDIS 
carrying a large amount of cash for seminars and workshops in 
third world countries.  Mohammed Louati, head of OIO, 
responded by saying often there is no other choice, though 
they have been able to reduce the need for carrying cash. 
They are researching whether they can utilize the facilities 
of other UN organizations and perhaps borrow cash.  Ron 
Nelson said he has researched using the UNDP cash points, but 
has been told by them this is not possible.  The TS continues 
to make progress and will continue to work to try to remedy 
this situation. 
 
¶8.  (U) After the run-through was completed, a couple 
delegations asked for clarifications to certain items on the 
reports.  Japan asked if there had in fact been 57 breaches 
of confidentiality reported.  Louati said that he was unaware 
of 57 breaches of confidentiality.  (Note: In a subsequent 
conversation with TS representatives it became clear that the 
57 breaches that Japan was referring to involved infractions 
by delegations over an extended period of time not violations 
by the TS.) 
 
¶9.  (U) Japan also asked for an assessment of the Quality 
Management System.  The TS responded by saying that this 
system is mainly used by the laboratory and OIO to be in 
compliance with specific technical standards.  They believe 
it is working well; it has been accredited by the Dutch 
Accreditation Body and is well maintained by the TS.  On the 
External Auditor Report, Japan wanted to know what was left 
to implement in Results Based Budgeting.  The TS said they 
have made progress and recently made an assessment of how 
they achieved RBB in the 2006 program and budget.  They are 
preparing the 2008 program and budget using the RBB apparatus 
and are using the assessment to make changes to improve the 
use of RBB.  This year, they are preparing information to 
focus RBB to the individual person within a branch and are 
working on the steps toward Results Based Management. 
 
¶10. (U) France asked about the Travel Program change.  The TS 
explained that the old system was underperforming and there 
had been payment problems.  They put the travel program out 
to bid and believe the new agency, Carlson Wagonlit, will 
offer improved services and costs.  France also asked about 
unliquidated obligations asking how much there was from one 
year to the other.  The TS said in 2006 there was 5.9 
million, and in 2005 5.7 million.  They said they are trying 
to only carry forward what is needed.  The TS also had to 
again explain again about SMARTStream.  The final French 
question was about how much outsourcing of services is done. 
The TS responded by saying the main outsourcing is the 
investment program of the Provident Fund for the individual 
staff members of the OPCW.  Noting that they put it out to 
bid and ABN-AMRO won, they are putting the money into very 
conservative individual savings accounts that cannot be 
touched by the staff until they leave OPCW employment. 
Travel is outsourced as noted previously, as well as 
gardening, cleaning and some building maintenance, some 
security upgrades, and some Information Systems maintenance. 
 
¶11. (U) The consultation ended with a note that the OIO and 
External Auditor Reports for 2006 will be released in early 
May. 
 
¶12. (U) Javits sends. 
ARNALL