U.S. Faces Funding Crisis if Palestinians Gain UN 'De Facto' Statehood

Ambassador Gilad Erdan demands defunding of the UN if General Assembly approves resolution granting Palestinians de facto statehood, invoking a 1990 law that prohibits funding to organizations that recognize the Palestine Liberation Organization.

U.S. Faces Funding Crisis if Palestinians Gain UN 'De Facto' Statehood

The United States faces a pivotal decision as the Palestinians seek a workaround to achieve official UN recognition, potentially triggering a complete withdrawal of American funding from the international body in protest. Legal experts warn that if the draft resolution granting the so-called "state of Palestine" the privileges of a full member passes, the U.S. is obligated by its own law to withhold all funds.

Anne Bayefsky, director of the Touro University Institute on Human Rights and the Holocaust, emphasizes the need for Congress to publicly affirm American law and take immediate action. The Public Law 101-246, passed in 1990, prohibits funding for the UN or any specialized agency that accords the Palestine Liberation Organization (PLO) the same standing as member states.

U.S. Faces Funding Crisis if Palestinians Gain UN 'De Facto' Statehood

The broad language of the bill has raised concerns about its implications if the PLO, recognized internationally as the representative of the Palestinian people, were to obtain the powers and privileges of a full UN member. Bayefsky criticizes the Biden administration for failing to clearly articulate the legal ramifications of such a move.

Palestinian President Mahmoud Abbas has addressed the UN General Assembly, seeking a "workaround" resolution that would grant the Palestinians voting and veto powers without official recognition. However, Rep. Christopher Smith, a Republican from New Jersey, condemns this approach as an "impermissible act," highlighting the continued terrorism and anti-democracy policies of Hamas, which controls the Gaza Strip.

U.S. Faces Funding Crisis if Palestinians Gain UN 'De Facto' Statehood

Smith questions the logic of rewarding an organization that calls for the "evisceration of Israel" and points to the recent escalation of violence in Gaza, linking it to the "pay-to-slay" policies of Hamas.

Israeli Ambassador Gilad Erdan unequivocally expects the U.S. to cease funding the UN and its institutions if the resolution passes. He draws parallels to the 2011 incident when then-President Obama cut funding to UNESCO after it granted full membership to the Palestinians, crippling the agency as the U.S. contributed 22% of its budget.

U.S. Faces Funding Crisis if Palestinians Gain UN 'De Facto' Statehood

Brett Schaefer, a senior research fellow at the Heritage Foundation, estimates that the U.S. currently accounts for approximately 25% of the UN's regular and peacekeeping budgets. While the resolution's adoption could provide some wiggle room, allowing the U.S. to continue funding specific interest groups, Schaefer notes the likelihood of the Palestinians seeking membership in specialized agencies like UNESCO, where they have already succeeded in gaining access.

Schaefer emphasizes the ongoing issues that admitting the Palestinians into the UN would pose, including the fact that Hamas remains the ruling party in Gaza, effectively admitting a terrorist organization with UN privileges.

U.S. Faces Funding Crisis if Palestinians Gain UN 'De Facto' Statehood

He also highlights China's growing influence within the UN, becoming the second-largest funding source, and expresses concern about the potential power Beijing could wield in the absence of the U.S. China has tripled its contributions to the UN over the past decade, accounting for around 15% of the regular budget.

The impact of the U.S. cutting its funding would be significant, crippling operations and affecting staff salaries, benefits, utilities, and maintenance. The Associated Press contributed to this report.

U.S. Faces Funding Crisis if Palestinians Gain UN 'De Facto' StatehoodU.S. Faces Funding Crisis if Palestinians Gain UN 'De Facto' Statehood