Humanitarian Financing
ACF Training – March 2010
Session I: Humanitarian Financing (Appeals processes, pooled funding mechanisms, role of clusters, CERF exercise)
Session II: Financial Tracking Service (FTS) and CAP Project Database (OPS)
ACF Training – March 2010
Humanitarian Finance - the basics
DEMAND:(Appeals for funding)
- stand-alone appeals- consolidated appeals
processes• Flash Appeals• Consolidated
Appeals Process (CAPs)
• Common Humanitarian Action/Response plans – Afg, Pak, Yemen, SL, Kenya, Nepal, Myanmar
SUPPLYSUPPLY:(Funding sources)•National government•civil society•NGO funds•bilateral donors•multilateral donors•private sector•pooled funds
•CERF•Emergency Response Fund•Common Humanitarian
Fund
ACF Training – March 2010
Demand side:
Appeals
ACF Training – March 2010
What is a Flash Appeal?
• overview of urgent life-saving needs
• within a week of emergency's onset
• acute needs 3- 6 months
Includes:•rapid needs assessments (3 days!)•all cluster response plans•projects for funding
ACF Training – March 2010
Indicative timeframe
Day 1 • HC/RC triggers flash appeal – consults country team &
government.
Day 2-4• Clusters conduct rapid needs assessment and prepare
sector response plans and select projects.
Day 5• HC sends final draft to OCHA CAP Section, which
circulates it for comment within 24 hr to IASC HQs.
Day 7• CAP Section processes & electronically publishes
document• Official launch of appeal• Donors select from menu of projects.
Indicative timeframe
ACF Training – March 2010
What is a CAP?
A Consolidated Appeal is, basically, a longer version of a Flash Appeal (12 months), for longer-term crises, offering more analysis and detail.
ACF Training – March 2010
Supply side:Pooled funds
ACF Training – March 2010
Pooled funds
3 types:
• CERF CERF - Central Emergency Response Fund
• CHFCHF - Common humanitarian funds
• ERFERF – Emergency Response Funds
Worldwide….Worldwide….
Country specific….Country specific….
Small scale for Small scale for gaps….gaps….
ACF Training – March 2010
Flash Appeal –Multiple donors
CERF Project proposals
ClusterResponse Plan
plus projects
Consolidated Appeals Process (CAP)
6 months on up to 6 months
Timeline for Planning and Appeals
ACF Training – March 2010
Clusters have crucial role:
• involve all cluster participants
• coordinate rapid needs assessments
• set cluster strategy and priorities
• lead & coordinate response plans
• gather project proposals inclusively
• vet projects transparently
ALL VERY FAST!
ACF Training – March 2010
What is CERF?
1. Rapid response grants (2/3 of grant facility)
2. Under-funded crises (1/3 of grant facility)
if no other funding source immediately available, including agencies’ own unearmarked agency funds and earmarked donor grants
3. Loans ($50 million)
funding committed but not yet paid; or commitment very likely
• to meet immediate relief needs • max. per emergency is US$ 30m• min. CERF grant allocation per project is US$ 100,000• funding to be committed within 3 months
ACF Training – March 2010
Who can receive CERF Grants?
NGOs cannot apply directly for CERF funds, but:
– should participate in process as part of the Cluster
– do receive funds as implementing partners of UN agencies & IOM
ACF Training – March 2010
Life-saving activities or services
Time-critical actions or resources
Essential CERF criteria
If not m
et, then
ACF Training – March 2010
CERF Funding Criteria
• All projects funded through the CERF grant component must be for life-saving / core emergency humanitarian programmes defined as:
Activities that, within a short time span, remedy, mitigate or avert direct loss of life, physical harm or threats to a population or major portion thereof.
– Also permissible are common humanitarian services that are necessary to enable life-saving activities (e.g. air support, emergency telecommunications, logistics).
ACF Training – March 2010
Activities Outside CERF Mandate
• Activities that are not immediately life-saving, such as disaster mitigation, early warning, prevention and preparedness, economic recovery, poverty reduction, and disarmament, are not suitable for the CERF.
• CERF contributions do not cover:– Recurrent costs (regular government staff
salaries, running office and maintenance costs, etc.)
– Regular agency stockpiling – Capacity building and training (funded only if
related to direct implementation of emergency response)
• ** Proposals that contain life-saving elements in the project narrative but the budgets focus on non-life-saving elements are not suitable for the CERF grant window. **
ACF Training – March 2010
Examples of Life-Saving Activities
SECTOR CRITERIA EXAMPLES
Agriculture Activities that have a direct and immediate impact in protecting and restoring the livelihood of families affected by an emergency
Provision of seeds, tools and fertilizer to restore food production capacity, survival of productive animals when primary source of livelihood, initial inputs for plague control
Coordination and support services
Activities that support the delivery of priority life-saving activities provided by UN agencies, NGOs and governments in emergency response
Emergency telecommunications equipment, evacuation services, transport, Joint Logistics Centers, safety and security measures
Education in Emergencies
Interventions aiming at restoring educational and recreational activities for children and adolescents during an emergency
School tents and other education material, emergency repair of primary education facilities, essential life-saving skills
ACF Training – March 2010
Examples of Life-Saving ActivitiesSECTOR CRITERIA EXAMPLES
Food Aid Provision of minimum food requirements / basic food rations to people affected by emergencies
General food distributions to fill gaps / pipeline breaks for the most vulnerable groups
Health Activities that have an immediate impact on the health of population affected by an emergency
Mass casualty management, Primary Health Care, SGBV response and psycho-social support, reproductive health emergency interventions, immunizations, outbreak control, HIV/AIDS emergency awareness, disease surveillance
Nutrition Management of severe and moderately acute malnutrition
Infant feeding in emergencies, micronutrient supplementation, therapeutic feeding centers
ACF Training – March 2010
Examples of Life-Saving ActivitiesSECTOR CRITERIA EXAMPLES
Shelter and NFIs
Immediate provision of temporary/ semi-temporary shelter and basic NFIs for victims of disaster.
Provision and distribution of materials, construction / repair of emergency shelter, cash grants / cash for work on a case by case basis
Protection / Human Rights / Rule of Law
Activities aiming at providing physical, social and legal protection (access to basic rights) to individuals and families affected by emergencies or protracted displacement situations
Establishment of IDP/refugee camps, profiling of IDP / refugee populations for registration, child protection, SGBV response, psychosocial counseling and Human Rights awareness. Assistance for relocation and creation of minimum conditions for return
ACF Training – March 2010
Examples of Life-Saving Activities
SECTOR CRITERIA EXAMPLES
Water, Sanitation and Hygiene
Provision of minimum requirements of water, sanitation and hygiene standards in emergency situations
Provision of drinking water, emergency repair to wells/boreholes/pumps, water purification systems, sanitation systems, hygiene and sanitation supplies and awareness raising
Mine action
Activities that create immediate conditions of physical safety of populations affected by an emergency
Emergency de-mining to allow humanitarian access, mine awareness and education
Life-Saving Maybe, depending on
context
Not Life-Saving
Primary Healthcare De-mining Infrastructure Reconstruction
Therapeutic Feeding
Livestock Vaccinations
IM systems
Emergency Watsan
General Food Distributions
Micro-credit
Shelter/NFI Surveillance systems
Preparedness Plans
ProtectionEm. Education
Psycho-social Vulnerability assessments
Priority Activities
ACF Training – March 2010
Main reason for delays in CERF funding… …
BUDGETERRORS
ACF Training – March 2010
What is wrong with this budget?
Cost breakdown Amount (USD)
A. Staff costs (salaries and other entitlements) (drivers to deliver food) $50,000
B. Travel -
C. Contractual Services -
D. Operations (please itemize below; add rows if necessary)
Transport of food and water containers $50,000
-
E. Acquisitions
F. Other -
Subtotal project requirements $200,000
G. Indirect programe support costs (not to exceed 7% of subtotal project costs)
PSC amount (none needed) 0
Total cost $200,000
ACF Training – March 2010
http://cerf.un.org
Cost breakdown Amount (USD)
A. Staff costs (salaries and other entitlements) (drivers to deliver food)
B. Travel
C. Contractual Services
D. Operations (please itemize below; add rows if necessary)
Transport of food and water containers
E. Acquisitions
F. Other
Subtotal project requirements
G. Indirect programe support costs (not to exceed 7% of subtotal project costs)
PSC amount (none needed)
Total cost
$4,000,000
What is wrong with this budget?
ACF Training – March 2010
Time for an exercise!
