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p. 16 of 16 BACK | NEXT Executive Summary Current ADB Inspection Function Consultations on the Review of the ADB Inspection Function Proposal for a New ADB Accountability Mechanism: A Two-Step Approach of Consultation and Compliance Review Recommendation

ADB Accountability Mechanism

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IV. Recommendation

148. The appointment of staff and the organization of offices come squarely under the power of the President, together with his power to delineate areas of responsibility and to prescribe functions among various departments and offices in accordance with policies approved by the Board. The consultation phase of the new ADB accountability mechanism, particularly the function of the SPF, may be considered part of the President's authority if it is segregated from the rest of the proposed mechanism, since the function of the SPF is aimed at strengthening the internal processes of the ODs. The consultation phase, however, is part and parcel of an integrated accountability mechanism, and as such, it cannot be described in isolation from the rest of the ADB accountability mechanism recommended here for Board consideration.

149. In this connection, it is recognized that the consultation phase underpins the effective functioning of the new ADB accountability mechanism upstream. The relationship between the ODs and the SPF is designed to support the purpose of the new ADB accountability mechanism. To this end, the President will review, from time to time, the working of the consultation phase and make necessary adjustments or revisions to its structure and the operating procedures.

150. Accordingly, the President recommends that the Board approve the following:

1. the establishment of the new ADB accountability mechanism, referred to in paras. 57-133 of this paper, providing for the Office of the Special Project Facilitator under the President and the Compliance Review Panel under the Board of Directors;

2. the establishment of the Office of the Compliance Review Panel, referred to in para. 136 of this paper;

3. the allocation of budgetary resources to meet the staffing requirements referred to in paras. 134-140 of this paper;

4. the effective date of the new ADB accountability mechanism and the application of this mechanism to private sector operations referred to in paras. 144 and 145 of this paper;

5. the transition arrangements referred to in para. 146 of this paper;

6. the restructuring of the Board Inspection Committee as the Board Compliance Review Committee upon the effectiveness of the new ADB accountability mechanism, referred to in paras. 102 and 144 of this paper; and

7. the operation of the ADB accountability mechanism and related operating and administrative procedures to be reviewed by Management after 3 years from the effectiveness of the ADB accountability mechanism, and the results of this review to be submitted to the Board.

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