Due to pending decisions which might have had budgetary implications, the Board considered  agenda 11 (c) under the present agenda item. Having considered the recommendations of the Ethics and  Finance  Committee and the ad-hoc committee on strengthening the secretariat, the Board decided:

i. To approve the modified budget of US $2,719,347, contained in annex VII to the present report, to cover the costs of the operations of the Adaptation Fund Board and its secretariat over the period July 1, 2010 to June 30, 2011, from the resources available in the Adaptation Fund Trust Fund;

ii. To approve an estimated budget of US $913,000, contained in annex VII to the present report, to cover the fees and expenses of the trustee for the period July 1, 2010 to March 31, 2011, which is comprised of US $520,000 for CER Monetization services, and US $393,000 for all other trustee services;

iii. To request the trustee to prepare a draft extension of the terms and conditions for the interim services provided by the trustee, for consideration and approval by the Adaptation Fund Board at its eleventh meeting. Given that the current terms and conditions for trustee services will automatically expire on March 2011, such a recommendation for extension of the interim arrangements should be included in the report of the Board to the Meeting of the Parties to the Kyoto Protocol for its consideration and subsequent approval at its sixth meeting in November 2010;

iv. To note that the unspent balance of the salary for the Manager of the Adaptation Fund Board secretariat, originally approved in budget for the fiscal year 2009, will be used by the secretariat to cover salary expenses of the Manager until February 2011;

v. To approve the renewal of the contract of a short-term temporary at an amount of US $24,807 per annum; the creation of a new position of a Junior Professional Associate at an amount of US $66,795 per annum; and the creation of a new F-level position for a Program Officer to support the activities of the secretariat on the project proposals at an amount projected to be US $153,481 per annum; 

vi. To note that the budgetary line ―support to the Chair (communications) should be spent on communications and awareness raising activities; and

vii. To request the Global Environment Facility to provide during the fiscal year 2011 a more detailed and documented expenses report for support tasks, in order to better audit the accounts.