VZCZCXYZ0444
OO RUEHWEB

DE RUEHC #5266 1692204
ZNR UUUUU ZZH
O 172203Z JUN 08
FM SECSTATE WASHDC
TO USMISSION USUN NEW YORK IMMEDIATE 0000

UNCLAS STATE 065266 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: UNSC PREL PHUM ZI XA ZU
SUBJECT: AWARD LETTER FOR U.S. CONTRIBUTION TO THE UN 
ELECTORAL ASSISTANCE TRUST FUND FOR ZIMBABWE ELECTION 
OBSERVERS 
 
 ¶1.  This is an action request.  The Department instructs 
USUN to deliver the award letter in para 2 below to the UN 
Electoral Assistance Division (EAD) as soon as possible. 
Original will follow via fax that includes authorizing 
signature.  USUN should advise EAD that the funds will be 
transferred upon Department's receipt of EAD's authorization 
of the award letter.  End action request. 
 
¶2.  Begin text of letter: 
 
Dear Mr. Jenness, 
 
As a follow-up to our letter dated June 9, 2008, under the 
authority contained in the Foreign Assistance Act of 1961, as 
amended, the U.S. Department of State hereby grants the sum 
of $1.35 million dollars to the United Nations Trust Fund for 
Electoral Assistance to support election observation for the 
June 27 election in Zimbabwe. 
 
This award is effective and obligation is made as of the date 
of counter-signature of this letter by the United Nations, 
reflecting its acceptance of the terms stated in the 
Attachment to this letter.  Please sign the original and all 
enclosed copies of this letter to acknowledge your acceptance 
of this award and the terms and conditions set forth herein, 
and return the original to my office immediately. 
 
Again, we thank you for your efforts in supporting the AU and 
SADC in their mission to observe the run-off election in 
Zimbabwe.  We look forward to your report on how these funds 
contributed to AU and SADC efforts. 
 
Sincerely, 
 
 
 
 
Kristen Silverberg 
 
Attachment: 
   Terms and Conditions 
 
 
ACKNOWLEDGED: 
For the United Nations 
BY: 
TITLE: 
DATE: 
 
 
Funds Citation: 
 
Attachment ) Terms and Conditions 
 
These funds are to be used to support the rapid deployment of 
election observers from the African Union (AU) ($850,000 USD) 
and the Southern African Development Community (SADC) 
($500,000 USD) for the second round of Zimbabwe,s 
presidential elections scheduled for June 27, 2008. 
 
The United Nations shall advise the U.S. if any funds remain 
after the completion of the Zimbabwe presidential elections 
project so that the U.S. can provide instructions regarding 
the use of those funds. 
 
This award shall remain in effect until the Trust Fund 
completes its work on the Zimbabwe presidential elections 
scheduled for June 27, 2008, and all expenses are paid.  This 
award may be terminated by either party.  In the event of 
termination, any funds obligated hereunder must be returned 
to the Department of State, except for funds committed 
pursuant to a legally binding transaction.  Such committed 
funds shall continue to be subject to the terms of this 
agreement until fully disbursed or returned to the Department 
of State if they will not be disbursed. 
 
U.S. funds or other support under this award are not to be 
provided to individuals or organizations associated with 
terrorism, illicit drug traffickers, or those known to assist 
or collude with drug traffickers. 
 
Funds provided herein should not be taxed.  The United 
Nations should seek to ensure that commodities purchased by 
the Trust Fund with funds provided under this agreement are 
exempt from taxes, including value-added taxes and customs 
duties.  To the extent that the UN Trust Fund does not have 
adequate immunity from taxation, it should seek agreement 
from the beneficiary entity that taxes will not be imposed. 
Should any such value-added taxes or customs duties be 
assessed and not refunded by any beneficiary entity, the 
United Nations shall include this information in its 
financial reports to the Department of State. 
 
U.S. law does not permit recipients of these U.S. assistance 
funds to earn interest on these funds.  Should the United 
Nations earn interest on these funds, the United Nations 
shall provide a year-end accounting along with a certified 
check made out to the United States Treasury for the amount 
of the interest earned. 
 
The United Nations agrees to provide the U.S. Government with 
a final report on activities carried out under this award, 
including accounting for funds to sufficiently substantiate 
charges to the Trust Fund.  The reports shall be submitted to 
the U.S. Mission to the United Nations in New York for 
forwarding to the Department of State. 
 
It is understood that financial records, including 
documentation to support entries on accounting records and to 
substantiate charges against these funds, will be maintained 
in accordance with the United Nations, usual accounting 
procedures, which must follow United Nations System 
Accounting Standards (&UNSAS8).  All such financial records 
must be maintained for at least three years after the final 
disbursement of funds under this award in accordance with 
United Nations document retention policies. 
 
The account in which these funds are held will be audited, 
applying established procedures under appropriate provisions 
of the United Nations Financial Regulations and Rules. 
 
U.S. funds should be utilized in a manner that respects the 
human rights and dignity of persons.  U.S. funds or support 
under this grant shall not be provided to any security forces 
(including police) where there is credible evidence that such 
unit has committed gross violations of human rights.  The 
United Nations can request information from the Department of 
State to help establish whether there is such evidence with 
respect to prospective recipients of assistance. 
RICE