ORGANISATION EUROPÉENNE POUR LA RECHERCHE NUCLÉAIRE …cds.cern.ch/record/1637047/files/fc-e-5781_c-3087Final... · 2013. 12. 16. · Reallocation of budget to new projects (operational

CERN/FC/5781

CERN/3087

Original: English

29 November 2013

ORGANISATION EUROPÉENNE POUR LA RECHERCHE NUCLÉAIRE

CERN EUROPEAN ORGANIZATION FOR NUCLEAR RESEARCH

Action to be taken Voting procedure

For information FINANCE COMMITTEE

346th

Meeting

11 December 2013

__

For information COUNCIL

169th

Session

12 December 2013

__

Final Budget

of the Organization

for the sixtieth financial year

2014

The Final 2014 Budget is expressed in 2014 prices, i.e. it implements the 0.4% indexation of the regular contributions of the Member

States, the Candidate for Accession and Associate Member States and the cost-variation indices applying to the expenses proposed in

document CERN/FC/5780-CERN/3086, which the Finance Committee is invited to recommend, and the Council is invited to approve

under a separate item of their respective December 2013 agendas, as well as the scale of contributions (document CERN/FC/5748-

CERN/3070) approved by the Council in June 2013.

The Finance Committee and the Council are invited to take note of this document.

GENEVA, December 2013

Table of contents

I. Executive Summary ................................................................................................................................ 1

1. Observations of the Director-General .............................................................................................................. 2

2. Variations with respect to the Revised 2013 Budget and the 2014 Draft Budget ............................................ 2

3. Overview of Revenues and Expenses .............................................................................................................. 5

II. Revenues for the 2014 Financial Year .................................................................................................. 7

1. Total Revenues ................................................................................................................................................. 8

2. Scale of Contributions of the Member States for 2014 .................................................................................. 10

III. Operating Expenses for the 2014 Financial Year .............................................................................. 13

IV. Summary of Expenses by Nature ....................................................................................................... 25

V. Financial Position of the Organization ................................................................................................ 31

1

I. Executive Summary

2

1. Observations of the Director-General

Following the Council’s approval in June of the proposed Medium-Term

Plan (MTP) for the period 2014-2018 and 2014 Draft Budget1, the

Management presents the Final 2014 Budget in 2014 prices in this document.

The Final 2014 Budget contains the same activities as the approved Draft

Budget with the corresponding objectives for the scientific and non-scientific

programmes. The 2014 goals are presented together with the expenses

estimates and personnel strength in Figures 5 to 10.

Subject to the Council’s approval2, Israel will become a Member State at the

end of 2013. The Member States’ revenues in this document have been

updated with respect to the 2014 Draft Budget on this assumption. As

detailed in the next section, these additional revenues make it possible to

launch some additional projects without them having an impact on the

cumulative budget deficit by the end of 2014.

The Final 2014 Budget also shows the 2013 Probable Revenues and

Expenses including the carry-forward in line with CERN’s Financial Rules

and its impact on the Final 2014 Budget. The details of the variations are

shown and explained in Figure 1.

The Final 2014 Budget is expressed in 2014 prices following application of

the cost-variation indices3 submitted to the Council and its Committees for

approval under separate agenda items in December 2013. The Member

States’ contributions are indexed by an overall cost-variation index of 0.4%,

which is within the corridor of 0% to 2%.

In line with “the introduction of rolling reporting and evaluation of the

budgetary consequences, in particular the cumulative budget deficit, during

the MTP discussions in the coming years”4, the impact on the overall budget

deficit is shown in Figure 2 for the years 2013 and 2014.

With respect to the 2014 Draft Budget, the cumulative budget deficit, which

was estimated to be -262.9 MCHF by the end of 2014, is now estimated to

be -262.6 MCHF by that date.

1 CERN/SPC/1012-CERN/FC/5747-CERN/3069

2 CERN/3094/RA, submitted to Council in its 2013 December session for

approval 3 CERN/FC/5780-CERN/3086

4 CERN/FC/5760/RA, page 25

2. Variations with respect to the Revised 2013 Budget and the 2014 Draft Budget

The Final 2014 Budget follows the revenues and expenses set out in the

approved Draft Budget. Variations are essentially due to CERN focusing on

the Long Shutdown 1 (LS1) of the LHC complex for the machine and its

detectors as well as some new items:

Changes in revenues

0.4% indexation of contributions, corresponding to 4.4 MCHF for the Member States and 0.03 MCHF for Romania as Candidate for

Accession;

Subject to the Council’s approval2, Israel will become a Member State at the end of 2013 as Israel has already completed its internal ratification

procedures and has deposited the instrument of accession with

UNESCO. As a Member State, Israel will pay its full contribution

(instead of 26% of its theoretical Member State contribution due as an

Associate Member State) as well as a special contribution. Israel has

already sent an amount towards its special contribution payable in 2014

as part of the accession conditions;

Changes in and re-profiling of EU-supported projects;

Reduced external revenues result in delays for projects such as HIE-ISOLDE and ELENA;

A higher number of personnel charged to third party accounts;

Small changes in KT revenues;

Changes in other revenues, i.e. a re-profiling of external revenues for research activities (IdeaLab and neutrino studies); departmental

revenues, covering activities done for external parties (such as ITER)

and revenues from sales, conferences, etc.; and some changes in housing

fund revenues;

Changes in expenses

Indexation of expenses3, i.e. 0.01% for the personnel budget (0% for subsistence allowances and family benefits and 2.5% for home leave)

and 0.84% for the materials budget (notably due to the indexation for

energy), subject to Council approval;

Changes in operation and maintenance mainly due to the allocation of revenues, delays in recovering value-added taxes, some contract cost

increases, etc.;

3

Re-profiling and supplementary industrial services for the LS1 activities (SMACC) funded by reduced provisions for the R2E project during LS1

(part of LHC consolidation);

Re-profiling and carry-forward for multi-annual projects:

o the schedules of the LHC machine and injector projects (LINAC4, LIU, PIC), detector upgrades and computing have

been extended to take account of the rescheduling of the overall

LHC shutdowns (deferred start of LS2 and LS3);

o consolidation of the non-LHC injectors and infrastructure due to the focus on LHC maintenance during LS1;

o delays and some extra costs in finishing the construction projects 107 and 774, which dominate the changes under

infrastructure and services;

o new schedule for non-LHC projects such as HIE-ISOLDE, ELENA, AWAKE, or IdeaLab with realigned external revenues

(see above).

The re-profiling makes it possible to cover some extra costs in the ongoing projects: AD consolidation as preparation for ELENA, CERN’s

Open Days (less the amount received from sponsoring), the surface

treatment building 107 and the new Prévessin main building (B774), and

more space in the LHCb office building, the latter funded by reducing

the allocation to detector improvements;

Budget allocation of 3 MCHF for the celebrations to mark CERN’s 60th anniversary in 2014. However, additional revenues are needed to allow

events to be funded across the Member States;

The additional contributions from Israel as a Member State will make it possible to launch and fund some new projects:

o initial work on a neutrino physics platform and finalisation of the ongoing study;

o launching some generic R&D for superconducting cavities and studying options for a Future Circular Collider (FCC) for the

post-LHC era;

o construction of a new building to host the Magnetic Measurement Facilities to allow the ISR building to become

CERN’s centralised radioactive waste storage and treatment

centre (Building 311);

The Globe of Science and Innovation requires major repairs to its wood structure. The Management will seek additional funding for these

repairs. However, should these revenues not materialise, the repairs will

be allocated from the 2014 allocation for general infrastructure

consolidation with a corresponding impact on implementation of the

consolidation plan.

4

Figure 1: Variations with respect to the Revised 2013 Budget and 2014 Draft Budget (p.56, CERN/SPC/1012-CERN/FC/5747-CERN/3069)

Explanations to Figure 1:

Figure 1 shows the variations for 2013 and 2014 with respect to the Revised 2013 Budget and 2014 Draft Budget approved in June. Details of the project carry-forward

and re-profiling are shown on the right. The totals for the 2013 Probable Revenues and Expenses as well as the Final 2014 Budget in 2014 prices are given in Figure 2.

(in MCHF, rounded off)

Variations on REVENUES -4.6 26.2

Indexation of Member States' contributions (subject to Council approval*) 4.4

Indexation of additional contribution from Romania as a Candidate for Accession 0.03

Anticipated contribution from Israel as a Member State (incl. special contribution**) 18.8

EU contributions -2.6 1.7

Additional contributions (re-profiling LINAC4, HIE-ISOLDE and ELENA) -1.4 -4.2

Personnel paid on team accounts 0.4 2.4

Knowledge transfer -0.1

Other revenues -0.9 3.1

External contributions for research activities -4.2 3.3

Departmental revenues 3.5

Housing Fund -0.2 -0.2

Variations on OPERATING EXPENSES -90.5 109.1

Indexation to 2014 prices 4.4

Personnel 0.05

Energy 3.0

Materials 1.4

Operation 3.1 4.2

Departmental revenues allocated to additional commitments 2.7 0.7

Operation variation 0.4 3.5 Details for Projects (carry-forward and re-profiling) -92.9 71.1

LS1 related expenses -0.7 4.1 LHC consolidation, injectors, and spares -5.0 -0.4

Additional operations cost shutdown 0.5 -0.1 LHC experiments and detectors consolidation -2.0 2.0

Splice consolidation and repair (from R2E re-profiling) -1.2 4.2 LHC Computing -2.7 2.7

Projects (carry-forward and re-profiling) -92.9 71.1 Non-LHC physics & scientific support (NA 62, ISOLDE, electronics investm.) -4.9 3.5

Reallocation of budget to existing projects (operational savings or project re-profiling) 2.4 6.0 Low and med accelerators incl. consolidation -6.1 6.3

AD Consolidation 1.0 Infrastructure and services -34.8 29.8

Building 774 (Prévessin main building) 2.0 - of which infrastructure consolidation and buildings -30.0 25.6

Building 107 (surface treatment) 2.0 HIE-ISOLDE (incl. additional contributions) -8.2 8.0

LHCb Building 1.0 ELENA (incl. additional contributions) -2.2 0.1

CERN Open Days 2013 and Passport Big Bang 2.4 R&D (AWAKE, MEDICIS, IdeaLab, neutrino and acc. studies, incl. ext. contributions) -5.7 5.2

Reallocation of budget to new projects (operational savings or project re-profiling) 0.1 17.4 LINAC4 -5.0 2.9

CERN's 60th

anniversary 0.1 2.9 LHC Injectors Upgrade (LIU) -3.7 2.7

CERN Neutrino Platform 4.0 HL-LHC upgrade -6.1 3.9

Future Circular Collider and Superconducting RF Studies 0.0 1.5 LHC detectors improvement and R&D for HL-LHC detectors -6.5 4.5

Building 311 (magnetic measurements) 4.0

Renovation Globe of Science and Innovation 5.0

Expenses corresponding to EU contributions -2.6 1.7

Variations on OTHER EXPENSES 0.4 2.4

Personnel paid on team accounts 0.4 2.4

IMPACT ON BALANCE 85.5 -85.2

* CERN/FC/5780-CERN/3086

** CERN/3094/RA, submitted to Council in its 2013 December session for approval

Variations between

Final 2014 Budget

(2014 prices)

and 2014 Draft Budget

(2013 prices)

Variations between

2013 Probable Revenues

and Expenses

and Revised 2013

Budget (2013 prices)

Variations between

Final 2014 Budget

(2014 prices)

and 2014 Draft Budget

(2013 prices)

Variations between


and Expenses

and Revised 2013

Budget (2013 prices)

5

3. Overview of Revenues and Expenses

Figure 2: Overview of Revenues and Expenses


REVENUES 1,185.0 1,205.5 1.7%Member States' contributions 1,082.2 1,086.5 0.4%Additional contributions from Host States 1.9 -100.0%

Additional contribution from Romania as a Candidate for Accession1a 6.5 7.9 20.8%

Additional contribution from Israel as an Associate Member State1b 3.1 13.1 319.0%

Special contribution from Israel1b 9.0

Additional contribution from Serbia as an Associate Member State1c 1.0 1.0

Anticipated contribution from Cyprus as an Associate Member State1d

EU contributions 17.9 18.8 4.6%Additional contributions (LINAC4, HIE-ISOLDE, ELENA, AWAKE, ITER) 4.5 3.4 -23.9%Personnel paid on team accounts 15.3 12.6 -17.8%Personnel on detachment 1.4 1.1 -23.0%Internal taxation 28.5 28.5 0.1%Knowledge transfer 1.0 1.1 10.3%Other revenues (including OpenLab, other in-kind, housing fund, sales) 21.7 22.5 3.8%

OPERATING EXPENSES 1,146.5 1,216.6 6.1%Running of scientific programmes and support 977.3 1,000.4 2.4%

Scientific programmes 563.9 536.3 -4.9%LHC (including spares and new initiatives support to detectors) 365.3 341.1 -6.6%Non-LHC physics and scientific support 54.3 53.6 -1.3%Accelerators and areas 144.2 141.6 -1.8%

Infrastructure and services 413.5 464.0 12.2%General infrastructure and services 249.0 254.6 2.2%Infrastructure consolidation, buildings and renovation 32.5 63.8 96.6%Centralised personnel expenses 34.0 35.7 4.8%Internal taxation 28.5 28.5 0.1%Personnel internal mobility 0.2 0.6 275.8%Personnel on detachment 1.4 1.1 -23.0%Insurances and postal charges, energy and water 50.2 60.6 20.8%Housing fund 3.9 6.2 58.4%Interest and financial costs 13.9 13.1 -6.0%

Projects and studies 169.2 216.2 27.8%CLIC / Linear collider studies 31.0 27.6 -10.9%Linear collider detector R&D 3.8 4.2 10.5%HIE-ISOLDE 13.0 20.6 58.3%ELENA 6.2 10.4 67.2%EU projects, R&D for accelerators, detectors, neutrinos, medical applications 17.1 30.2 76.5%LINAC4 27.8 20.3 -27.1%

LHC injectors upgrade ² 26.8 38.3 42.8%

Perfor.-improving consolid. and luminosity upgrade (HL-LHC) ² 22.4 36.5 63.0%LHC detectors improvement 14.2 17.6 24.6%

R&D for HL-LHC detectors ² 6.9 10.5 51.9%OTHER EXPENSES 37.5 34.8 -7.3%Personnel paid on team accounts 15.3 12.6 -17.8%Various 22.2 22.2

In-kind 4.7 4.7Stores activity 0.3 0.3Miscellaneous (incl. schools, conferences) -0.1 -0.1Budget amortization of staff benefits accruals 17.3 17.3

TOTAL EXPENSES 1,184.0 1,251.3 5.7%

BALANCE

Annual balance 1.0 -45.8 -4681.5%Capital repayment allocated to the budget (Fortis, FIPOI 1 and 2, SIG) -25.2 -26.0 3.2%Recapitalization pension fund -60.0 -60.0Annual balance allocated to budget deficit -84.2 -131.8 56.5%-Cumulative Balance ³- - 46.6 -130.8 -262.6 100.8%

For information:

Capital repayment to FIPOI 3 0.2 0.2

² These headings include the construction cost of the PIC-

LHC and the LIU projects until 2018, i.e. the LS2, but only

covers R&D expenses towards HL-LHC.

The MTP also covers CERN’s contribution to the LHC

detector improvements for LS2 and seed funding for detector

R&D for HL-LHC.

³ The cumulative balance of -46.6 MCHF is the accumulated

budget deficit as stated in the Annual Accounts for 2012, p.6.

It does not contain 2012 open commitments and reprofiled

projects of 107.8 MCHF carried forward to 2013 and later years

(of which 86.7 MCHF announced in the Final 2013 Budget).

2013 Probable

Revenues and

Expenses

(2013 prices)

Final 2014 Budget

(2014 prices)

Variations of Final 2014

Budget with respect to

2013 Prob. Rev. and Exp.

1cSerbia became an Associate Member State on 15 March

2012. As defined in Council Resolution CERN/2999/RA Serbia

will pay the statutory minimum of 1 MCHF until 2014, 40% of

its theoretical Member State contribution for 2015 and 50% in

2016. It is assumed that Serbia will become a Member State in

2017 and will pay 100% of its contribution as of 2017.

1dThe ratification for Cyprus, to become an Associate

Member State in 2013, is still pending (the annual contribution

would amount to 1 MCHF).

1aRomania as a Candidate for Accession will pay 60% of its

theoretical Member State contribution for 2013, 75% in 2014

and 100% as of 2015, as defined in Council Resolution

CERN/2829 and updated by the Agreement signed by CERN

and Romania on 11/02/2010.

1bIsrael became an Associate Member State on 01/10/2011,

and paid 26% of its theoretical Member State contribution for

2013 as defined in Council Resolution CERN/2985/RA. Subject

to the Council's adoption of Resolution CERN/3094/RA, Israel

will become a Member State at the end of 2013 and will pay

100% of its contribution as of 2014. Israel has already sent an

amount of 9,035 kCHF towards its special contribution as a

Member State and this amount has been included in the

budget for 2014.

7

II. Revenues for the 2014 Financial Year

8

1. Total Revenues

Figure 3: Total Revenues

(in kCHF, rounded off)

REVENUES 1,185,030 1,205,510 1.7%

Member States' contributions 1,082,155 1,086,520 0.4%

Additional contributions from Host States 1,925 -100.0%

In-kind 1 1,925 -100.0%

Additional contribution from Romania as a Candidate for Accession2a 6,530 7,890 20.8%

Additional contribution from Israel as an Associate Member State2b 3,130 13,115 319.0%

Special contribution from Israel2b 9,035

Additional contribution from Serbia as an Associate Member State2c 1,000 1,000

Anticipated contribution from Cyprus as an Associate Member State2d

EU contributions 17,945 18,765 4.6%

Additional contributions (LINAC4, HIE-ISOLDE, ELENA, AWAKE, ITER) 4,470 3,400 -23.9%

Personnel paid on team accounts 15,300 12,575 -17.8%

Personnel on detachment 1,390 1,070 -23.0%

Internal taxation 28,450 28,480 0.1%

Knowledge transfer 1,015 1,120 10.3%

Other revenues 21,720 22,540 3.8%

Sales and miscellaneous 8,565 9,630 12.4%

OpenLab revenues 3 2,220 1,975 -11.0%

3 Including in-kind contributions from OpenLab partners. Financial revenues 200 200

In-kind 4 4,735 4,735

Housing fund 6,000 6,000

1The 2013 amount comprises the remaining in-kind contributions

from France based on the expected LINAC4 in-kind contributions.

Final 2014

Budget

(2014 prices)

Variations of Final 2014

Budget with respect to


2013 Probable

Revenues

(2013 prices)

2bIsrael became an Associate Member State on 01/10/2011, and

paid 26% of its theoretical Member State contribution for 2013 as

defined in Council Resolution CERN/2985/RA. Subject to the

Council's adoption of Resolution CERN/3094/RA, Israel will

become a Member State at the end of 2013 and will pay 100% of its

contribution as of 2014. Israel has already sent an amount of 9,035

kCHF towards its special contribution as a Member State and this

amount has been included in the budget for 2014.

2aRomania as a Candidate for Accession will pay 60% of its

theoretical Member State contribution for 2013, 75% in 2014 and

100% as of 2015, as defined in Council Resolution CERN/2829 and

updated by the Agreement signed by CERN and Romania on

11/02/2010.

2cSerbia became an Associate Member State on 15 March 2012.

As defined in Council Resolution CERN/2999/RA Serbia will pay

the statutory minimum of 1 MCHF until 2014, 40% of its theoretical

Member State contribution for 2015 and 50% in 2016. It is assumed

that Serbia will become a Member State in 2017 and will pay 100%

of its contribution as of 2017.

4 Mainly theoretical interest of the FIPOI loan and advantage from

free use of land, plus in-kind from CEA/CNRS.

2dThe ratification for Cyprus, to become an Associate Member

State in 2013, is still pending (the annual contribution would

amount to 1 MCHF).

9


With effect from 2012 the Member States’ contributions were reduced by 30 MCHF with respect to the 2010 level, as requested and approved by the Council in

September 2010. After three years of 0% indexation, the Member States’ contributions are indexed by 0.40% for 2014 subject to the Council’s approval

(CERN/FC/5780-CERN/3086). In line with the Council Resolutions of a) December 2008 for Romania as a Candidate for Accession, b) September 2011 for Israel as

an Associate Member State, and c) December 2011 for Serbia as an Associate Member State, the contributions of these countries are added to the budget and indexed.

Assuming that the Council adopts the resolution submitted at its 2013 December Session regarding the Accession of Israel (CERN/3094/RA), Israel will become a

Member State at the end of 2013 and will pay its full contribution as a Member State in 2014, as well as a special contribution. As ratification is still ongoing for

Cyprus following the Council’s approval of the Draft Resolution concerning the admission of Cyprus as an Associate Member State in September 2012

(CERN/3034/RA), no revenues are assumed in this Final Budget.

Revenues from EU-supported projects are re-profiled to match the expenses.

The heading “Other revenues” for 2014 corresponds to a conservative assumption based on the budget out-turn in the years 2010 to 2012.

The headings “Personnel paid on team accounts”, “Housing fund” and “Personnel on detachment” have corresponding expenses under the headings “Other expenses”

and “Operating expenses” as shown in Figure 2. The OpenLab revenues in 2014 will be adjusted as a function of actual revenues as usual.

10

2. Scale of Contributions of the Member States for 2014

The Member States’ contributions for 2014 in 2014 prices amount to 1,086.5 MCHF.

In 2014, as a Candidate for Accession and in line with the Council Resolution CERN/2829 updated by the Agreement signed by CERN and Romania on 11 February

2010, Romania will pay 75% of its theoretical Member State contribution. In line with the Council Resolution CERN/2985/RA, Israel became an Associate Member

State in October 2011. Subject to Council’s decision on document CERN/3094/RA submitted in December 2013, Israel will become a Member State at the end of 2013

and will pay 100% of its contribution as of 2014. Serbia became an Associate Member State on 15 March 2012 and will pay the statutory minimum contribution of

1 MCHF in 2014 as defined in Council Resolution CERN/2999/RA.

The percentage distribution of the scale of contributions for 2014 (document CERN/FC/5748-CERN/3070) was approved by the Council in June, and the cost-variation

index proposals are submitted to the Council for approval in document CERN/FC/5780-CERN/3086 in December 2013.

Figure 4: Scale of Contributions of the Member States for the Financial Year 2014

Net National Income

at factor costs

Average

2009 to 2011

(in MCHF)

Austria EUR 198 343 208 409 219 338 1.5099 1.3828 1.2343 286 129 2.2466%

Belgium EUR 244 590 265 438 273 084 1.5099 1.3828 1.2343 357 803 2.8093%

Bulgaria BGN 49 324 50 904 54 367 0.7720 0.7070 0.6311 36 126 0.2836%

Czech Republic CZK 2 458 423 2 443 158 2 478 436 0.0571 0.0546 0.0502 132 742 1.0422%

Denmark DKK 1 155 953 1 255 622 1 282 321 0.2027 0.1856 0.1657 226 623 1.7794%

Finland EUR 125 186 131 187 136 155 1.5099 1.3828 1.2343 179 492 1.4093%

France EUR 1 403 963 1 449 570 1 479 441 1.5099 1.3828 1.2343 1 983 441 15.5732%

Germany EUR 1 812 250 1 919 310 1 984 620 1.5099 1.3828 1.2343 2 613 292 20.5185%

Greece EUR 166 804 153 054 137 135 1.5099 1.3828 1.2343 210 920 1.6561%

Hungary HUF 16 279 551 16 746 837 17 681 872 0.0054 0.0050 0.0044 83 409 0.6549%

Italy EUR 1 063 930 1 078 961 1 086 917 1.5099 1.3828 1.2343 1 479 984 11.6202%

Netherlands EUR 412 229 427 938 457 550 1.5099 1.3828 1.2343 592 971 4.6558%

Norway NOK 1 807 703 1 954 470 2 117 335 0.1729 0.1726 0.1582 328 282 2.5775%

Poland PLN 983 918 1 025 677 1 099 917 0.3492 0.3462 0.3006 343 111 2.6940%

Portugal EUR 111 628 114 505 111 416 1.5099 1.3828 1.2343 154 800 1.2154%

Slovak Republic EUR 44 939 46 880 48 095 1.5099 1.3828 1.2343 64 014 0.5026%

Spain EUR 784 814 768 785 774 032 1.5099 1.3828 1.2343 1 067 807 8.3840%

Sweden SEK 2 195 032 2 420 783 2 539 422 0.1422 0.1447 0.1367 336 574 2.6426%

Switzerland CHF 445 858 485 849 477 810 1.0000 1.0000 1.0000 469 839 3.6890%

United Kingdom GBP 1 105 426 1 137 952 1 166 978 1.6952 1.6104 1.4226 1 788 892 14.0457%

12 736 253 100.0000%

Candidate for Accession

Romania* RON 361 789 378 071 401 906 0.3561 0.3283 0.2912 123 325 0.9683%

Due in 2014: 0.7262%

Associate Member States

Israel** ILS 537 322 572 914 616 647 0.2761 0.2792 0.2479 153 733 1.2071%

Serbia*** RSD 1 963 716 2 080 530 2 316 407 0.0160 0.0132 0.0121 28 968 0.2274%

Due in 2014: 0.0796%

* In 2014, Romania will pay 75% of its theoretical Member State contribution as defined in the Council Resolution CERN/2829 and updated by the Agreement signed by CERN and Romania

on 11 February 2010.

** Full theoretical Member State contribution in line with Resolution CERN/3094/RA submitted to Council in December 2013.

*** Serbia became an Associate Member State on 15 March 2012 and will pay the statutory minimum of 1 MCHF in 2014 as defined in Council Resolution CERN/2999/RA.

Exchange rates

national currencies in Swiss francs

2009 2010 2011

TOTAL

Currency 2009 2010 2011

Net National Income at factor costs

(in million national currency)2014 Contribution

in %

11

Austria 24,311,350 24,409,450 2.2466%

Belgium 30,401,300 30,524,000 2.8093%

Bulgaria 3,069,550 3,081,950 0.2836%

Czech Republic 11,278,600 11,324,100 1.0422%

Denmark 19,255,400 19,333,100 1.7794%

Finland 15,250,750 15,312,300 1.4093%

France 168,526,100 169,206,150 15.5732%

Germany 222,042,350 222,938,350 20.5185%

Greece 17,921,150 17,993,450 1.6561%

Hungary 7,087,000 7,115,600 0.6549%

Italy 125,749,100 126,256,550 11.6202%

Netherlands 50,382,700 50,586,000 4.6558%

Norway 27,893,000 28,005,550 2.5775%

Poland 29,152,950 29,270,600 2.6940%

Portugal 13,152,850 13,205,900 1.2154%

Slovak Republic 5,439,000 5,460,950 0.5026%

Spain 90,727,850 91,093,950 8.3840%

Sweden 28,597,550 28,712,950 2.6426%

Switzerland 39,920,600 40,081,700 3.6890%

United Kingdom 151,995,900 152,609,250 14.0457%

Total 1,082,155,000 1,086,521,850 100.0000%

Additional contribution from Romania as a Candidate for Accession 7,858,850 7,890,550

Additional contribution from Israel as an Associate Member State* 3,396,150 3,409,850

Additional contribution from Israel as a Member State** 9,666,000 9,705,000

Additional contribution from Serbia as an Associate Member State*** 1,000,000 1,000,000

Total including additional contributions 1,104,076,000 1,108,527,250

* 26% of Israel's theoretical Member State contribution as defined in Council Resolution CERN/2985/RA.

** In line with Resolution CERN/3094/RA submitted to Council in December 2013 and granting Israel the status of Member State.

*** Statutory minimum of 1 MCHF.

2014 Contribution

in %

2014

Annual

Contribution

(in CHF,

2013 prices)

2014

Annual

Contribution

(in CHF,

2014 prices)

13

III. Operating Expenses for the 2014 Financial Year

15

Expenses by Scientific and Non-Scientific Programmes5

Figure 5: Final 2014 Budget (Personnel, Materials and Interest & Financial costs)

5 Please note that this section only details the operating expenses. Other expenses that are not linked to the scientific and non-scientific programmes are summarized in

Figure 2.

* Including Centralised personnel expenses, Internal mobility, Personnel on detachment (3.1%),

Energy and water (4.4%), Insurances and postal charges (0.6%), Housing fund (0.5%).

LHC machine and

injectors

10.1%

LHC machine and areas

reliability and

consolidation

7.1%

LHC experiments (incl.

consolidation)

6.9%

LHC computing

3.9%

Other scientific

programmes

16.0%

Projects (incl. R&D)

17.8%

Infrastructure and

services

26.2%

Expenses allocated to

other headings*

8.6% Internal taxation

2.3%Interest & financial costs

1.1%

16

Figure 6: Scientific programme

FTE FTE

Personnel Personnel Materials Total Personnel Personnel Materials Total

988.0 178,650 186,665 365,315 LHC programme (incl. projects) 947.4 173,635 167,465 341,100 -6.6%

291.5 48,850 74,285 123,135 1 LHC machine and injectors 317.0 55,805 67,260 123,065 -0.1%

289.9 48,670 67,475 116,145 LHC machine and experimental areasComplete the LS1 program of splice consolidation and the mitigation of the effects on

radiation on the electronics installed underground.315.3 55,640 58,695 114,335 -1.6%

1.7 180 6,810 6,990 SparesOrder final set of spare RF Klystrons and last spare parts for the DFB’s and cryogenic

dipoles. Complete the UPS replacement. Purchase add. vacuum pumps.1.7 165 8,565 8,730 24.9%

247.3 41,255 77,370 118,625 1 LHC machine and areas reliability and consolidationInstallation of the superconducting RF facility in SM18. Finish the installation of the back-

up cooling towers. Complete the LS1 program of infrastructure consolidation.186.3 29,525 57,170 86,695 -26.9%

339.9 66,205 12,145 78,350 LHC experiments 340.7 66,425 14,465 80,890 3.2%

91.9 18,270 3,205 21,475 2 ATLAS detectorComplete the work packages in progress, related to maintenance and repairs for the

detector during LS1.87.8 17,680 3,415 21,095 -1.8%

115.5 22,230 3,445 25,675 3 CMS detectorPrepare Phase I infra., re-insert the pixel detector, install the Muon endcap 4th layer

station and upgrade the DAQ infra. SW upgrade and physics studies for the 2015 run.113.6 22,130 3,495 25,625 -0.2%

49.6 10,025 1,920 11,945 4 ALICE detectorComplete data analysis (more complex analyses). Complete R&D and start

procurement for new detectors. Consolidation in view of the runs at full LHC energy.53.1 10,495 1,870 12,365 3.5%

46.6 9,660 1,535 11,195 5 LHCb detectorComplete major consolidation work. Prepare infrastructure upgrade. Analyze the whole

set of experimental data. Recommission for the 2015-2018 run.49.1 10,175 1,625 11,800 5.4%

36.2 6,020 1,890 7,910 6 Common items, other experiments (incl. Totem, LHCf)Totem: cons. of T1, T2 and RP silicon detectors. LHCf: upgrade to the radiation hard

detectors. MoEDAL: analyse test stacks exposed to 7, 8 TeV pp data and p-Pb data.37.0 5,945 4,060 10,005 26.5%

150 150 Detectors re-scoping -100.0%

3,205 3,205 7 LHC detectors consolidationInstall and commission new equipment during LS1. Main domains of consolidation are:

magnets, cryogenics, electrical and UPS network, CV, shielding, IT networks, etc.2,480 2,480 -22.6%

109.3 22,340 19,660 42,000 8 LHC computingProcessing and analysis workloads world-wide, incl. support for reprocessing of the full

2010-2012 data sets and of the “parked” data from 2012. Simulation campaigns.103.5 21,880 26,090 47,970 14.2%

579.5 104,970 93,580 198,550 Other programmes (LHC support and non-LHC programmes) 608.4 109,240 86,005 195,245 -1.7%

34.2 6,590 5,175 11,765 9 Non-LHC physicsReach goals approved by scientific committees and Research Board. Complete and

commission new or improved detectors which will restart in the 2nd part of the year.29.9 5,730 4,245 9,975 -15.2%

59.9 10,000 1,970 11,970 10 TheoryContinue producing world-class results in theoretical physics; support the experiments

and TH community by organizing workshops, schools, institutes and hosting visitors. 59.3 10,060 2,145 12,205 2.0%

170 170 11 LHC physics centreProvide resources to organise seminars, lectures and workshops to the whole LHC

community for the analysis of the large data sample collected in 2011-2012.180 180 5.9%

123.3 22,765 7,670 30,435 12 Scientific supportAssure safe, reliable and efficient operation of the experiments. Provide support to the

community of users.126.9 21,660 9,595 31,255 2.7%

28.6 5,040 5,125 10,165 13 Low- and medium-energy accelerators 35.6 6,290 4,800 11,090 9.1%

125.2 20,780 23,310 44,090 13 PS and SPS complexes 185.1 33,060 21,575 54,635 23.9%

97.6 20,800 12,885 33,685 13 Accelerator technical services 100.6 21,725 11,930 33,655 -0.1%

110.7 18,995 37,275 56,270 13 Accelerator consolidation 71.0 10,715 31,535 42,250 -24.9%

1,567.5 283,620 280,245 563,865 Grand Total 1,555.8 282,875 253,470 536,345 -4.9%

23.93% 23.65% 47.58% % of total revenues 23.47% 21.03% 44.49%

Replacement of radiation damaged cables in LSS1 of the SPS, of the PS tunnel

ventilation system, of the PS complex access system. Reinforce radiation shielding for

the PS machine. Consolidation of the 66kV protection system, consolidation of electrical

substations in the SPS and in the Meyrin West Area. Completion and commissioning of

n_TOF EAR2. Construction of a class A laboratory for ISOLDE. Studies for AD target

consolidation. Installation of a new PSB beam dump. Test beams in North Area and

HiRadMat. Start consolidation of East Hall and North Area.

Variations of Final

2014 Budget with

respect to 2013

Probable Expenses

(2013 prices) (2014 prices)2014 goals

kCHF

Final 2014 Budget

kCHF

2013 Probable Expenses

Fact

sheetActivity

17


The expenses for the LHC machine and injectors will remain high, but

decrease in comparison to 2013, both for the consolidation and for the LHC

machine and experimental area headings. Work on the magnet interconnects,

collimation, R2E activities as well as many cabling and maintenance

activities will finish in the summer of 2014, which will result in a reduction

of subsistence payments from the materials budget and industrial services

expenses. The cool-down of the machine will increase the consumption of

cryogenic fluids. Expenses on spares remain high and are based on a list of

the most critical items.

The consolidation of the detectors will be completed during the shutdown in

2014.

LHC computing is progressing with constant improvements. The materials

expenses essentially include CERN’s share of the expenses for the required

additional equipment, renewal of computer and data services, software

development, licenses and a Computer Centre capacity increase.

The non-LHC physics heading consists of ongoing activities, which remain

stable over time, and projects with a certain profile, influencing notably the

materials heading. The heading is lower in 2014 due to a delay in the

infrastructure part of the NA62 project (manpower unavailability during the

shutdown).

The ongoing support activities have almost equal budgets in 2013 and 2014.

This applies for example for Theory with its large fellowship and visiting

scientists programme and for scientific support activities. The variation

between the two years stems from EU-funded projects. CERN is actively

seeking additional EU support. Additional funding for new programmes

would be added in the course of 2014.

As for the LHC machine heading, the consolidation heading for the

accelerators decreases in 2014 with respect to 2013, due to the end of the

long shutdown and the start-up of the accelerator complex (resulting in

higher expenses for the PS and SPS complexes for operation notably for

manpower). In 2014, 6.4 MCHF in materials are also earmarked for the

consolidation of some urgent items in the North and East Areas, and 1 MCHF

for the consolidation of the AD.

18

Figure 7: Infrastructure and services

FTE FTE


816.3 206,370 207,090 413,460 Infrastructure and services 826.7 211,130 252,910 464,040 12.2%

54.9 9,815 2,575 12,390 14 Manufacturing facilities (workshops, etc.)Responsibility over all welding and QC for LS1. Consolidate workshop equipment and

conformity to current standards. Consolidation of group quality policies.60.5 10,575 2,985 13,560 9.4%

148.6 25,860 37,800 63,660 15 General facilities & logistics (site maintenance, transport)Perform capacity planning. Establish SLAs. Extend the Service Management support to

FP/HR. Extensive maintenance of technical infrastructures during LS1.154.4 27,400 38,150 65,550 3.0%

176.2 31,395 18,035 49,430 16 InformaticsEnsure adequate level of availability of the Informatics services, perform capacity

planning. Maintain and operate the activities of the international SCOAP3 consortium.175.9 31,565 18,485 50,050 1.3%

145.0 21,465 15,865 37,330 17 Safety, health and environmentOperate optimized emergency care system. Implementation of a strategic crisis response

plan. Continued studies on waste classification and transport of radioactive material.148.3 22,475 19,805 42,280 13.3%

209.8 39,350 11,430 50,780 18 AdministrationProgress on enlargement. Upgrade of Qualiac. Implement modified procurement rules.

Reduce CERN’s long term debt. Launch the 5Y review.206.1 38,745 11,290 50,035 -1.5%

59.4 11,570 23,850 35,420 19 Outreach and KTCelebrate CERN’s 60th anniversary. Organize the ICTR-PHE conference 2014. Help to

promote the role of HEP in the health arena.60.7 11,675 21,400 33,075 -6.6%

16.1 2,670 29,810 32,480 20 Infrastructure consolidation, buildings and renovationCompletion of Buildings 774 and 107. Civil engineering work for the new LHCb building

complex. Execution of the annual consolidation plan.15.8 2,630 61,215 63,845 96.6%

6.3 64,245 53,835 118,080 21 Centralised expenses 5.1 66,065 66,530 132,595 12.3%

34,030 34,030 Centralised personnel expenses 35,680 35,680 4.8%

28,450 28,450 Internal taxation 28,480 28,480 0.1%

165 165 Personnel internal mobility 620 620 275.8%

4.8 1,390 1,390 Personnel on detachment 3.6 1,070 1,070 -23.0%

42,875 42,875 Energy and water 53,300 53,300 24.3%

7,275 7,275 Insurances and postal charges 7,275 7,275

1.5 210 3,685 3,895 Housing fund 1.5 215 5,955 6,170 58.4%

13,890 13,890 21 Interest and financial costs 13,050 13,050 -6.0%


Fact

sheetActivity

Variations of Final

2014 Budget with

respect to 2013

Probable Expenses


kCHF

Final 2014 Budget

kCHF


19


The baseload of the ongoing infrastructure and services results in an overall

constant budget allocation, apart from the carry-forward for the delayed

construction of Buildings 107 and 774.

The materials heading “safety, health and environment” includes the

radioactive waste management activities, but also earmarked amounts for

several projects in the domain of radiation monitoring systems (RAMSES)

and a project in collaboration with the Geneva University Hospitals (HUG) to

respond to medical emergencies.

The heading for Outreach and KT activities remains almost constant. The

2013 Probable Expenses include some 4 MCHF for public open days and

visits during the long shutdown while some 3 MCHF are earmarked in the

Final 2014 Budget for events to mark CERN’s 60th

anniversary. The

Management is aiming for additional revenues to permit funding of more

items to mark the 60th

anniversary such as support for celebration events in

the Member States and some events in the local area.

As mentioned, the heading for infrastructure consolidation remains

substantial. The difference between 2013 and 2014 derives from a delay in

two building projects: Building 107 for all surface treatment activities to

comply with safety and environmental directives and Building 774 (Prévessin

main building) that are now supposed to be completed in 2014. Furthermore,

both projects also have a cost increase of some 2 MCHF each. In addition, in

2014 and 2015, a new building dedicated to magnetic measurements will be

constructed; this will liberate space in the ISR that is necessary for the

Radioactive Waste Treatment centre to become operational.

The Management continues to enhance the programme by ring-fencing funds

to renovate the CERN site (technical and general items) in order to enhance

efficiency, energy savings, reliability, and, last but not least, safety. This

heading consists of many small items: roofs, windows, toilets, swing space,

roads, parking space, etc. The heading also includes 5 MCHF for the

renovation of the Globe of Science and Innovation. Without additional

funding, the Organization will need to allocate funds ring-fenced for the

CERN site to the Globe and therefore have to delay other urgent repair items

that are currently planned.

The centralised expenses are higher in 2014, notably owing to increased

electricity consumption due to the restart of the LHC injectors and cooling

down the LHC: the beam will be sent to the North Area as of mid-October

for a physics run until the end of the year.

20

Figure 8: Projects and studies

FTE FTE


524.9 92,070 77,145 169,215 Projects 528.1 93,135 123,040 216,175 27.8%

72.7 12,925 18,070 30,995 22 CLIC / Linear collider studiesRebaseline the project. Establish a research programme for power/energy

reduction/efficiency. Improve the X-band structure test-capacity.64.8 11,740 15,870 27,610 -10.9%

18.8 3,245 595 3,840 23 Linear collider detector R&DContinued studies with electron-positron collisions at the energy frontier. CLIC detector

optimization studies. Development of low-mass pixel detector modules.20.2 3,620 625 4,245 10.5%

49.2 7,215 5,815 13,030 24 HIE-ISOLDERefurbishment of the old ALEPH Cryo-Plant. SC Linac: assembly and test of high-beta

cryomodules. Design study for the Intensity Upgrade, submission of the TDR.40.8 6,290 14,335 20,625 58.3%

21.3 3,800 2,395 6,195 25 ELENAConstruction of ELENA components, which should be ready for installation starting in

spring 2015 after moving hardware for kickers into the new building.21.5 3,810 6,545 10,355 67.2%

66.2 9,950 7,160 17,110 R&D 89.0 13,255 16,945 30,200 76.5%

44.4 6,420 5,285 11,705 26 R&D acceleratorsStart design study collaboration for the future energy frontier machines. Design and

component preparation of equipment for AWAKE.48.9 7,730 7,010 14,740 25.9%

21.8 3,530 675 4,205 27 EU projects, R&D detectorsParticipation in first Horizon 2020 funding calls. Seed funding and support for generic

R&D activities. General development of detector components.34.1 4,525 1,070 5,595 33.1%

700 700 28 R&D for medical applicationsPrepare a bid for EU funding of a Bio-LEIR facility. Establish an international advisory to

plan the next generation hadron therapy facility. Continue MEDICIS activity.6.0 1,000 2,650 3,650 421.4%

500 500 R&D neutrinos 6,215 6,215 1143.0%

77.4 13,355 14,445 27,800 29 LINAC4Recommission the 3 MeV injector. Install and commission with beam the three Drift Tube

Linac tanks. Install the new ion source (IS02). Start beam tests at 100 MeV.58.0 10,410 9,860 20,270 -27.1%

86.8 15,220 11,585 26,805 30 LHC injectors upgradeFinalize installation in the machines. Commission modifications implemented during LS1 in

the injectors. Test with beam of the prototypes installed during LS1.82.5 14,630 23,635 38,265 42.8%

65.9 12,275 10,120 22,395 31 Perfor.-improving consolid. and luminosity upgrade (HL-LHC)Select the Nb3Sn conductor lay-out for the magnet upgrade. Fully qualify the CC system.

Preliminary design of the new collimation system in the DS zone.85.3 15,340 21,170 36,510 63.0%

39.5 9,320 4,840 14,160 32 LHC detectors improvementContinue R&D and start procurement and construction of components which will be

installed in LS2.41.4 9,680 7,960 17,640 24.6%

27.2 4,765 2,120 6,885 32 R&D for HL-LHC detectorsContinue R&D for the large upgrades expected during LS3, in particular in the fields of

electronics, pixels and silicon sensors, large micro-pattern gas detectors, etc.24.8 4,360 6,095 10,455 51.9%


Fact

sheetActivity

Variations of Final

2014 Budget with

respect to 2013

Probable Expenses


kCHF

Final 2014 Budget

kCHF


21


The materials and personnel expenses for CLIC will reduce as of 2014 to allow

funding of various other accelerator R&D studies.

HIE-ISOLDE materials have been re-profiled for 2013, 2014 and 2015 due to

changes in the planning and a change of scope of the different phases.

The materials heading for ELENA increases in 2014 with respect to 2013, due

to a re-profiling (project start-up), as well as due to additional budget allocated

to this project to fund the required ELENA building as well as the approved

GBAR project. External funding is expected as of 2015.

The R&D accelerator activities in 2014 consist of earmarked R&D for various

studies in line with the European Strategy. These include the continuation of

collaboration for high-power proton sources and linac, proton plasma

wakefield acceleration and conceptual study options for a Future Circular

Collider (FCC) as well as some limited support for the LHeC studies. Some

seed funding has also been added for superconducting RF R&D as of 2014.

The “EU projects” heading consists of projected expenses in 2013 and 2014

with corresponding revenues from the EU.

R&D for medical applications: this heading covers studies and projects related

to the medical applications of CERN technologies, including the MEDICIS

project.

R&D neutrinos includes seed funding in 2013 and as of 2014 funding to

complete the study for a possible neutrino physics facility at CERN as well as

to start establishing a neutrino physics platform.

For the LHC-related projects, a review of requirements showed that LS2 and

LS3 will have to be deferred, which has an impact already in 2013 and 2014:

LINAC4 has a new EVM baseline, with projected materials expenses in line with the planning for a connection during LS2.

The LHC injectors upgrade project has increased materials expenses in 2014 according to the Cost to Completion profile.

The “LHC performance-improving consolidation and luminosity upgrade project (HL-LHC)” heading has been re-profiled due to changes in the

planning and includes the funding of all Performance Improving

Consolidation (PIC) items.

R&D for HL-LHC detectors: this activity contains generic R&D for a future luminosity upgrade. The manpower for the detectors upgrade will

derive from the allocations to LHC detector operation.

22

Energy and water

Figure 9: Expenses – Energy and water


The budget for energy reflects the planning of LS1, with the commissioning and cold check-out of the PS and SPS in 2014, with the aim of sending beam to the North

Area as of mid-October for a physics run until the end of the year. The LHC will not be operational, and in the autumn the LHC sectors will be cooled down and a

powering test will be performed (beam commissioning as of January 2015).


Energy and water (baseload) 18.8 18.8 -0.1%

Electricity 9.9 10.2 2.6%

Heating oil and gas 5.1 5.2 1.3%

Water and waste water* 3.7 3.4 -9.4%

Energy for basic programmes 24.1 34.5 43.5%

Experimental areas** 5.0 7.8 56.7%

Data handling 2.1 2.1 -0.3%

Accelerators: 5.3 13.3 151.2%

AD 0.2 0.5 141.4%

PS 1.2 3.2 172.3%

SPS 3.9 9.5 145.2%

LHC 11.7 11.4 -2.9%

Grand Total Energy programme 42.9 53.3 24.4%

* The heading for water no longer includes the financial cost of the SIG loan dating back to the LEP construction (now shown under the financial expenses).

** This includes particle physics (PS and SPS fixed target), ISOLDE, LHC experiments and LHC test beam into East, West and North Area.

Final 2014 Budget

(2014 prices)

Variations of

Final 2014 Budget with respect

to 2013 Probable Expenses

Activity2013 Probable Expenses

(2013 prices)

23


Personnel Materials Total Personnel Materials Total

144,660 259,755 404,415 Programme Projects 122,085 316,620 438,705

460 6,050 6,510 LHC machine and injectors 190 7,875 8,065

180 5,585 5,765 * LHC spares 165 7,030 7,195

160 160 * Rebuilding spares stock after 3-4 incident 460 460

280 305 585 LHC injectors 25 385 410

40,950 74,180 115,130 * LHC machine and areas reliability and consolidation 29,390 56,895 86,285

3,950 9,005 12,955 Collimation system enhancements 3,615 4,370 7,985

9,490 9,490 Electrical network 2025 5,020 5,020

1,265 615 1,880 Experimental areas consolidation 1,400 580 1,980

15 40 55 Induced consolidation following 3-4 incident 115 115

22,250 27,515 49,765 LHC consolidation 14,780 20,710 35,490

4,440 7,210 11,650 Radiation to electronics (R2E) 3,585 11,980 15,565

9,005 19,305 28,310 Splice consolidation and repair 5,825 13,275 19,100

25 1,000 1,025 Quench Heater Supervision Upgrade 70 960 1,030

245 3,055 3,300 * CERN control centre consolidation 45 275 320

515 515 LHC experiments 1,880 1,880

150 150 Detectors re-scoping

365 365 * Idealab building 1,880 1,880

3,205 3,205 * LHC detectors consolidation 2,480 2,480

920 15,755 16,675 * LHC Computing Grid 840 21,475 22,315

325 120 445 * AEGIS 330 55 385

2,005 3,145 5,150 * NA62 1,530 2,150 3,680

145 1,665 1,810 * Isolde robots2 80 960 1,040

100 100 * Magnet rescue facility

90 1,595 1,685 * Magnet Infrastructure Upgrade 105 990 1,095

140 15 155 * Helium infrastructure and distribution 595 595

615 2,045 2,660 * AD consolidation 600 1,190 1,790

1,445 1,445 * East area consolidation 2,245 2,245

740 2,015 2,755 * North area consolidation 345 4,120 4,465

2,010 2,010 * 66/18 kV loop PS consolidation 1,625 1,625

950 2,295 3,245 * 18 kV loop + substations SPS consolidation 650 2,545 3,195

16,690 27,465 44,155 * Accelerator consolidation 9,120 19,810 28,930

1,600 1,600 General facilities & logistics (site maintenance, transport) 2,080 2,080

1,600 1,600 * Globe car park and "Place des Particules" 2,080 2,080

1,710 1,710 Informatics 1,715 1,715

565 565 * IT conference facilities renewal

1,145 1,145 Computing network consolidation 1,715 1,715

1,110 7,730 8,840 Safety, health and environment 980 11,095 12,075

115 1,045 1,160 * Radio infrastructure upgrade for firefighters 20 905 925

15 250 265 * Consolidation of calibration hall 15 2,600 2,615

2,135 2,135 * Ramses II light 2,755 2,755

920 3,195 4,115 Radioactive waste management 885 3,765 4,650

60 1,105 1,165 * SC dismantling and museum 60 1,070 1,130

2,145 2,145 * Outreach and KT - Visitpoint 310 310

2,660 30,925 33,585 General and technical infrastructure consolidation 2,620 61,390 64,010

510 510 * AD control rooms 365 365

535 8,805 9,340 * Building 107 (surface treatment) 260 23,525 23,785

* Building 311 (magnetic measurements) 4,000 4,000

80 6,000 6,080 * Building 774 (Prévessin main building) 55 10,460 10,515

390 390 * Building 867 (radiation workshop)

25 1,000 1,025 * CMS site consolidation 1,000 1,000

* Renovation Globe of Science and Innovation 5,000 5,000

100 100 * LHCb building 3,750 3,750

2,020 14,120 16,140 * Surface and technical infrastructure consolidation (roofs, facades, heating, etc.)3

2,305 13,290 15,595

12,655 18,060 30,715 * CLIC 11,450 15,870 27,320

3,065 380 3,445 Linear collider detector R&D 3,275 405 3,680

5,310 5,815 11,125 * HIE-ISOLDE 5,060 14,315 19,375

3,755 2,395 6,150 * ELENA 3,765 6,545 10,310

135 135 * High radiation material test facility2 55 55

180 75 255 * Proton Plasma wakefield acceleration (AWAKE) 1,010 910 1,920

700 700 * MEDICIS 1,650 1,650

Short Baseline Neutrino R&D 6,215 6,215

13,300 14,445 27,745 * LINAC4 10,360 9,860 20,220

15,085 11,585 26,670 * LHC Injectors Upgrade 14,495 23,635 38,130

9,895 8,920 18,815 * LHC luminosity upgrade project (HL-LHC) 11,610 20,485 32,095

9,320 4,605 13,925 * LHC detectors upgrade 9,600 7,570 17,170

4,050 1,855 5,905 R&D for HL-LHC detectors 4,040 5,945 9,985

1 Excluding EU projects.

2 Including the Radioactive waste management activities of the project.

3 Including some building renovation.

LHC programme

Included in Figure 6

Other programmes


Infrastructure and

services


Projects


2013 Probable Expenses1

(2013 prices) ActivityFixed

assetProject

Final 2014 Budget1

(2014 prices)

Multi-annual projects and fixed assets

Figure 10: Expenses – Details of projects included in the

activity headings

It details the amounts for 2013 and 2014 of non-recurrent

expenses for multi-annual projects and fixed assets (such as

research facilities, consolidation, upgrades and buildings, etc.)

in line with the fixed assets policy (CERN/FC/5210).

25

IV. Summary of Expenses by Nature

26

Figure 11: Materials expenses by nature (including interest and financial costs)

The heading for goods, consumables and supplies includes the anticipated carry-forward for projects from 2013 and is therefore higher in 2014.

Due to the long shutdown, the heading for industrial services as well as associated members of personnel shows an increase in 2013 and then reduces in 2014 as many

long shutdown activities will finish in the summer of 2014. The heading “miscellaneous” includes the expenses linked to transport which will also be higher owing to

the shutdown. The energy consumption is higher in 2014 owing to the restart of the accelerator complex at the end of 2014.


Materials expenses 553,625 619,405 11.88%

Goods, consumables and supplies 277,895 349,805 25.88%

Electricity, heating gas and water 43,125 53,550 24.17%

Industrial services 146,330 132,275 -9.61%

Service contracts 85,495 81,315 -4.89%

Repair and maintenance 56,985 48,135 -15.53%

Temporary labour 3,850 2,825 -26.62%

Associated Members of Personnel 40,000 38,000 -5.00%

Other overheads 46,275 45,775 -1.08%

Consultancy 8,000 8,000

Contributions to Collaborations 7,075 7,075

Miscellaneous1 31,200 30,700 -1.60%

Interest and financial costs 15,745 14,905 -5.34%

Fortis bank 12,175 11,435 -6.08%

In-kind (FIPOI interest 0%)2 2,105 2,105

SIG debt interest 1,465 1,365 -6.83%

Short-term interests

569,370 634,310 11.41%

2 Theoretical interest at market rate for FIPOI 1, 2 and 3 loans at 0%. This heading is compensated by the corresponding revenues line "Other revenues / In-kind".


(2013 prices)

Final 2014 Budget

(2014 prices)

Variations of

Final 2014 Budget with

respect to 2013 Prob. Expenses

1 Including insurances and postal charges, handling and transport, bank charges.

27

Figure 12: Breakdown of materials expenses by nature

Goods, consumables and

supplies

55.2%

Electricity, heating gas and

water

8.4%

Service contracts*

12.8%

Repair and maintenance*

7.6%

Temporary labour*

0.4%

Associated Members of

Personnel

6.0%Other overheads**

7.2%

Interest and financial costs

2.4%

Materials expenses: 97.6%

Interest and financial costs: 2.4%

* Total of industrial services: 12.8% + 7.6% + 0.4% = 20.8%.

** Including insurances and postal charges, consultancy, CERN contributions to collaborations, handling and transport.

28

Figure 13: Personnel expenses by nature

Overall complement: The 2014 personnel budget covers 2,479 FTEs staff (2,402 FTEs on CERN’s core budget, 9 FTEs on EU projects, 3 FTEs on OpenLab, 3 FTEs

paid by external parties, 2 FTEs paid by ITER, 1 FTE on TT activities and 59 FTEs on team accounts) and 518 FTEs fellows (365 FTEs on CERN’s core budget,

111 FTEs on EU projects, 11 FTEs on OpenLab, 2 FTEs paid by external parties, 1.5 FTE paid by ITER, 0.5 on TT activities and 27 FTEs on team accounts).


Staff members 1) 474,035 476,390 0.50%

Basic salaries (incl Saved Leave) 301,690 303,145 0.48%

306,920 308,375 0.47%

-5,230 -5,230

Allowances 64,890 65,180 0.45%

Non-resident allowances / International indemnities 20,650 20,745 0.46%

Family and child allowances 24,680 24,795 0.47%

Special allowances 2,525 2,535 0.40%

Overtime 2,615 2,620 0.19%

Various allowances 14,420 14,485 0.45%

Social contributions 107,455 108,065 0.57%

Pension Fund 84,955 85,360 0.48%

Health Insurance 22,500 22,705 0.91%

Fellows 2) 60,420 58,740 -2.78%

Apprentices 425 425

Centralised personnel budget 62,480 64,160 2.69%

Centralised personnel expenses 34,030 35,680 4.85%

Installation, recruitment and termination of contracts 4,510 6,380 41.46%

Installation and removal costs 1,195 1,550 29.71%

Termination allowances 3,315 4,830 45.70%

Additional periods of membership in the Pension Fund for shift work 1,900 1,500 -21.05%

Contribution to Health Insurance for pensioners incl. Long Term Care 27,620 27,800 0.65%

Contribution to Health Insurance for pensioners 24,835 24,950 0.46%

Contribution to Long Term Care for pensioners 2,785 2,850 2.33%

Internal taxation 28,450 28,480 0.11%

TOTAL PERSONNEL 597,360 599,715 0.39%

Budget Amortization of staff benefit accruals 17,300 17,300

TOTAL PERSONNEL incl bud. amort. of staff benefit accruals 614,660 617,015 0.38%

1) Including staff paid on team accounts. For 2013, staff paid on team accounts amount to 11.61 MCHF; for 2014, 9.67 MCHF.

2) Including fellows paid on team accounts. For 2013, fellows paid on team accounts amount to 3.69 MCHF; for 2014, 2.91 MCHF.


(2013 prices)

Final 2014 Budget

(2014 prices)

Variations of

Final 2014 Budget with

respect to 2013 Prob. Expenses

Nature

Basic salaries

Contribution to Saved Leave schemes

29


The total CERN Personnel Budget for 2014 amounts to 599.7 MCHF. This includes 12.6 MCHF for staff and fellows paid on team accounts.

The Final 2014 Budget for staff members totals 476.4 MCHF. The difference in expenses on staff members between the 2014 Draft Budget and the Final 2014 Budget

mainly stems from staff on EU-funded projects and staff funded through external revenues.

The Allowances heading for 2014 is comparable to 2013. The social contributions will increase slightly, mainly due to the planned increase in the Organization’s

contribution to the CERN Health Insurance Scheme as agreed in December 2010 by Council.

As indicated in the 2014 Draft Budget, additional fellowship funding has now been included owing to materials to personnel transfers for the GET fellows programme

as well as recent successful applications for EU-supported projects, notably COFUND4, and some other projects. The number of fellows is expected to remain rather

constant.

The centralised personnel expenses total 35.7 MCHF. Installation and removal costs, which relate to beneficiaries taking up appointment and leaving the Organization,

are expected to amount to 6.4 MCHF, mainly as a result of the staff rotation policy. The contribution to the Pension Fund for additional periods is based on historical

data, taking into account fewer beneficiaries in the future. The contribution to pensioners’ Health Insurance and Long Term Care should amount to 27.8 MCHF, owing

to a higher contribution from the Organization to the CERN Health Insurance Scheme.

Internal taxation is expected to amount to 28.5 MCHF and is also shown as revenues for the Organization, the amount depending on the staff positions in the salary

grid.

Figure 14: Breakdown of personnel expenses by nature

31

V. Financial Position of the Organization

32

Statement of Cash Flow

Figure 15: Estimated statement of Cash Flow for Financial Years 2013 and 2014

The statement of Cash Flow is an estimate assuming that Member States’ contributions will be paid by the scheduled instalment dates as foreseen. The balance of

short-term loans will depend on the actual carry-forward and on the in- and outflows on team accounts.

2013 2014

(2013 prices) (2014 prices)

(A) START OF THE YEAR

Liquid assets brought forward 38 * 55

Outstanding short-term loans 0 * 0

(1) CASH INFLOW 1,388 1,498

Contributions 1,051 1,161

Teams and collaborations 290 290

EU, KT, other revenues 47 47

(2) CASH OUTFLOW 1,371 1,473

Payments 982 1,084

Teams and collaborations 290 290

Interest and financial costs 14 13

Capital repayment Fortis + FIPOI + SIG 25 26

Recapitalisation of the Pension Fund 60 60

(3) VARIATION OF CASH POSITION 17 25

(B) END OF THE YEAR

Estimated liquid assets 55 80

Estimated outstanding short-term loans 0 0

* For 2014, it is an estimated amount.

(in MCHF, rounded off, estimated as at 31/10/2013)

33

Short-term bank loans and overdrafts

No short-term bank loans and overdrafts are expected, provided that Member States’ contributions are settled on the scheduled instalment dates and by the end of the

year at the latest. This situation could change if Member States are unable to meet their obligations to the Organization.

Loan from FORTIS bank

The outstanding amount to Fortis Bank amounts to 342.8 MCHF at the end of 2013 and will reduce to 320.4 MCHF by the end of 2014. The loan will be fully

reimbursed by the end of June 2026.

Loan from FIPOI

The FIPOI loans are interest-free; the capital repayment for the existing three FIPOI loans amounts to 1.1 MCHF per year.

Loan from SIG Under the contract for the supply of water (E059) awarded to SIG (Services Industriels de Genève), the outstanding debt to SIG amounts to 35.3 MCHF at the end of

2013 and will reduce to 32.7 MCHF by the end of 2014. This debt will be entirely repaid by the end of 2024.

Documents

ORGANISATION EUROPÉENNE POUR LA RECHERCHE NUCLÉAIRE …cds.cern.ch/record/1637047/files/fc-e-5781_c-3087Final... · 2013. 12. 16. · Reallocation of budget to new projects (operational