United Nations Cuts U.S. Dues

ByABC News
December 23, 2000, 4:29 PM

U N I T E D   N A T I O N S -- The United Nations adopted the first majoroverhaul of its financing in more than two decades today,cutting U.S. payments to the world body and shifting most of thefinancial burden to developing countries that have experiencedeconomic improvement.

Bleary eyed delegates from 189 countriesmany now hoping tomake it home for holidayswrapped up agreement on the budgetreform package after South Korea dropped last-minute demands.

The General Assembly promptly approved the new system, passingresolutions for separate budgets for the United Nations day-to-dayoperations and its far-flung peacekeeping operations. When assemblypresident Hari Holkkeri of Finland gaveled the session to a close,there was loud applauseand a race to the doors.

U.S. Lobbied For Redistribution

Buried in this complex financial package is the firstfinancial reform of the U.N. regular budget in 28 years and thefirst time ever for peacekeeping, said Richard Holbrooke, theexhausted but jubilant U.S. ambassador. Many credited his personallobbying of reluctant and often hostile delegates for thegroundbreaking accord.

The last time the U.S. portion of the regular budget was reducedwas in 1972, when the ambassador was George Bush, Holbrooke noted.

With a debt to the United Nations now totaling $1.3 billion, theUnited States has been repeatedly attacked by other countries,including its allies, for not paying its dues. The U.S. Congress,demanding reform of the bloated U.N. bureaucracy, has passedlegislation requiring that the U.S. share of the budget besubstantially reduced before a substantial chunk of the arrears canbe paid.

Ted Turner Covers Shortfall

On Friday, the United States won the battle to reduce its shareof the U.N. budgetthe centerpiece of the U.N. financing overhaul- after media tycoon Ted Turner offered a $34 million one-timegift. Turners donation would cover the shortfall the U.S cutcreates in the main U.N. budget in 2001.