PROJECT IMPLEMENTATION MANUAL - …turruqjissor.moch.gov.iq/sites/default/files... · The objective...

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REPUBLIC OF IRAQ

EMERGENCY OPERATION FOR DEVELOPMENT PROJECT

PROJECT IMPLEMENTATION MANUAL

October 2015

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EXECUTIVE SUMMARY

1. The objective of the Project Implementation Manual (PIM) is to spell out the procedures and detailed arrangements for the implementation by the Government of Iraq Emergency Operation for Development Project (Project) for the achievement of its objectives.

2. The PIM has been prepared and will be distributed by the PCU, to the World Bank and to the Government of Iraq. The PIM will incorporate all Project operational responsibilities and compliances.

3. This PIM is designed to act as a comprehensive documentation of how the project will operationalize and implement the various components. It should guide the various project management teams and their contractors various procedures and compliances necessary to implement the Project. The PIM is a living document and expected to be revised and updated as necessary to incorporate the evolving needs of the Project and any changes in procedures based on the experiences of Project implementation. Each PMT will adhere to the PIM, however, should changes be proposed, a new version number will be assigned to each amended version of the PIM, which would include all implementation responsibilities as they apply to each PMT.

4. Any changes to the PIM will take effect upon approval from the Bank in response to a notification of the proposed change sent by the PCU via e-mail. The WB will respond by e-mail or otherwise in writing to the request indicatively within two weeks from the date of the e-mail transmission requesting the “no-objection”. Following receipt of a “no objection” from the Bank, the PCU will disseminate any amended and new version of the PIM to all members of the Project Steering Committee and Government of Iraq, identifying both the previous text that is to be adjusted, and the new text. The PCU will also ensure that the new version of the PIM is available to all PMTs working on the Project. Each PMT will transmit the new version of the PIM to the appropriate staff in their organization. All SOEs and sub-contractors working on the Project will ensure that only the latest version of the PIM is used.

5. The “Reconstruction Fund for Areas Affected by Terroristic Operations” (RF) is identified as the “Responsible Agency” and through the Project Coordinating Unit has the overall oversight of the project, coordination role to play among all line ministries and management of the individual Project Management Teams that will implement the project within each municipality. As such they would be




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responsible for adhering to various edicts and compliances as noted within this document.

6. The World Bank is responsible for supporting the RF and its structure, and adding additional resources in the following areas: citizens’ engagement, financial management, monitoring and evaluation, procurement and social and environmental safeguards.

7. The PIM has been divided into eight sections and addresses the processes of Project planning, implementation (including financial management and procurement) and monitoring and evaluation. The PIM is organized in the following way:

• Section I: Project Background • Section II: Project Objectives and result Indicators • Section III: Project Description • Section IV: Roles and Responsibilities • Section V: Implementation Arrangements • Section VI: Fiduciary Arrangements • Section VII: Environment and Social Safeguard • Annexes: (supplementary information)




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ABBREVIATIONS AND ACRONYMS

ARAP : Abbreviated Resettlement Action Plan CPA : Coalition Provisional Authority CE : Citizen Engagement CPS : Country Partnership Strategy CQS : Consultants’ Qualification Selection DL : Disbursement Letter DPRs : Diversified Payment Rights DRB : Directorate of Roads Bridges EERP : Emergency Electricity Reconstruction Project EOD : Explosive Ordnance Disposal EOI : Expression of Interest E&S : Environmental and Social ESAP : Environment and Social Action Plan ESIA : Environment and Social Impact Assessment ESMF : Environmental and Social Management Framework ESMP : Environment and Social Management Plan EWR : Explosive War Remnants FA : Framework Agreements FM : Financial Management FMS : Financial Management System FMU : Financial Management Unit FY : Financial Year GDP : Gross Domestic Product GOI : Government of Iraq GRS : Grievance Redress Service GSCOM : General Secretariat of the Council of Ministers IAS : International Accounting Standards IBRD : International Bank for Reconstruction and Development ICA : Investment Climate Assessment ICB : International Competitive Bidding ICS : Internal Control System ICU : Internal Control Unit IDA : International Development Association IDPs : Internally Displaced Persons IEDs : Improvised explosive devices IEG : Independent Evaluation Group IFR : Interim Unaudited Financial Statements




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IFRS : International Financial Reporting Standards IMF : International Monetary Fund INES : Integrated National Energy Strategy for Iraq ISIS : Islamic State of Iraq and Syria ISMs : Implementation support missions ITF : Iraq Trust Fund IVO : Identification Verification Orientation KRG : Kurdistan Regional Government LIB : Limited International Bidding M&E : Monitoring and Evaluation MENA : Middle East and North Africa MoCH : Ministry of Construction and Housing MoE : Ministry of Electricity MoH : Ministry of Health MoMPW : Ministry of Municipalities and Public Works MIS : Management Information System MTR : Mid-Term Review NSWMP : National Solid Waste Management Plan NCB : National Competitive Bidding OPEC : Organization of the Petroleum Exporting Countries PAD : Project Appraisal Document PCR : Physical Cultural Resources PCU : Project Coordination Unit PDO : Project Development Objective PDS : Public Distribution System PIM : (Emergency) Project Implementation Manual PLR : Performance and Learning Review PM : Procurement Manager PMT : Project Management Team PMU : Project Management Unit PPF : Project Preparation Facility QCBS : Quality and Cost Based Selection RAP : Resettlement Action Plan RPF : Resettlement Policy Framework RF : Reconstruction Fund SBDs : Standard Bidding Documents SOE : Statement of Expenditure SOEs : State Owned Enterprises SORT : Systematic Operations Risk-Rating Tool TA : Technical Assistance




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TCP : Transport Corridors Project TOR : Terms of Reference TPMA : Third Party Monitoring Agent TTL : Task Team Leader UN : United Nations UNOCHA : United Nations Office for the Coordination of Humanitarian Affairs UNMAS : United Nations Mine Action Service UXO : Unexploded Ordnance WAs : Withdrawal Applications




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TABLE OF CONTENTS

6.2 PROCUREMENT ARRANGEMENT ............................................................... 108

6.2.1 Guidelines ....................................................................................... 108 6.2.2 Procurement methods .......................................................................... 108 6.2.3 Methods of Procurement of Goods, Works and Non-Consulting Services ..................................................................................................................... 109

6.2.3.1 NCB & ICB Provisions ................................................................. 110 6.2.3.5 Use of Positive Lists ...................................................................... 114 6.2.3.6 Framework Agreements ................................................................ 115 6.2.3.7 Commodities ................................................................................. 115 6.2.3.8 Force Account ............................................................................... 115 6.2.3.9 Use of UN Agencies ...................................................................... 116 6.2.3.10 Community Participation in Procurement .................................... 116

6.2.4 Methods of Procurement of Consultants .............................................. 116 6.2.4.1 Single-source Selection ................................................................. 116 6.2.4.2 Selection of Consulting Firms through Consultants’ Qualification Selection (CQS) ......................................................................................... 117 6.2.4.3 Consultant Shortlists ...................................................................... 117 6.2.4.4 Request for Expression of Interest (REOI) .................................... 117 6.2.4.5 Use of UN Agencies ...................................................................... 117 6.2.4.6 Other Streamlined Approaches ...................................................... 118

6.2.5 Procurement Threshold .................................................................... 118 6.2.6 World Bank's Review on Procurement Decisions ................................. 118 6.2.7 Procurement Plan ................................................................................ 119 6.2.8 Procurement Responsibilities .............................................................. 120 6.2.9 Master Implementation Mannual (MIM) .......................................... 121

6.4 GOOD GOVERNANCE AND GOVERNANCE AND ACCOUNTABILITY ACTION PLAN 121 6.5 GRIEVANCE HANDLING PROCEDURES ...................................................... 122

6.5.1 Right of Appeal and Alternative Mechanisms ...................................... 123 6.6 ENVIRONMENTAL AND SOCIAL RISK MANAGEMENT ................................ 125

SECTION VII: ENVIRONMENT AND SOCIAL SAFEGUARD ................ 126 7.1 ENVIRONMENTAL SAFEGUARDS ............................................................... 126

7.1.1 Sequencing and Tentative Implementation Schedule for Safeguards Processing .................................................................................................... 127

7.2 SOCIAL SAFEGUARDS............................................................................... 133 ANNEXES: ........................................................................................................ 137




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Table 1: Packaging and cost estimation for works and goods ............................... 61 Table 2: Packaging and cost estimation for consultancy services ......................... 61 Table 3: Roads and major culverts included in the project ................................... 64 Table 4: Bridges included in the Project............................................................... 65 Table 5: Project cost and timeline .......................... Error! Bookmark not defined. Table 6: Distribution of Mobile Clinics by Governorate and in the Project .......... 70 Table 7: Distribution of Hospitals ........................................................................ 71 Table 8: Project cost and timeline .......................... Error! Bookmark not defined. Table 9: Flow of funds ........................................................................................ 104 Table 10: Procurement methods .......................................................................... 108 Table 11: Procurement threshold ........................................................................ 118 Table 12: Prior review thresholds of work, goods and non-consultancy contracts............................................................................................................................ 118 Table 13: Prior review thresholds of consultancy contracts ................................. 119 Figure 1: Direct payment from the WB to beneficiaries ....................................... 99 Figure 2: Flows of funds to / from Designated Account Chart ............................. 99 Figure 3: Scheme of safeguards approach and instruments for EISRP ................ 127 Figure 4: Approach for determination of appropriate safeguards instruments ..... 131




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SECTION I: BACKGROUND

1.1 STRATEGIC CONTEXT

8. Iraq is a pivotal country in the Middle East region and has through the years tilted the course of events in a troubled part of the world. Currently, Iraq is facing the most dangerous challenge to its territorial integrity, economic sustainability and human development capacity due the security threat by Islamic State of Iraq and Syria (ISIS), plunge in oil prices and a less than optimal functioning of state institutions. The economy contracted by 0.5 percent in 2014 from 4.2 percent growth in 2013. Since the start of the conflict, non-oil Gross Domestic Product (GDP) growth declined by 5.2 percent in 2014 due to the destruction of infrastructure, impeded access to fuel and electricity, low business confidence, and disruption of trade. Even though Iraq has the fifth largest proven crude oil reserves in the world1, fall of oil prices by 60% coupled with rising security expenditures have contributed to the fiscal deficit. Current revenues are not even sufficient to cover the public sector payroll, transfers, and payments to oil companies, let alone investment and reconstruction. Iraq has also witnessed a dramatic fall in almost all human development indicators including poverty, public services, health standards, life expectancy, and literacy. Extreme poverty is widespread, particularly in rural areas and a number of governorates. In 2012, a fifth of the population lived on less than USD 2 a day (2005 PPP), and 70 percent on less than USD 4 a day.

9. May be the new inclusive government formed by Prime Minister Haydar Abadi is considered as one last chance for the region’s stability. The new Prime Minister seized the trust-building opportunity in face of dramatically fast ISIS insurgency to bring together a wider coalition with representatives drawn from across the political spectrum. This has resulted in a greater measure of political inclusion, albeit remaining extremely fragile. Iraq also represents a vivid example of the challenges of engaging simultaneously in situations characterized as “in-conflict”, “post conflict” and “pre-conflict” as the north-west region remains engulfed in open war with ISIS, whereas a large part is post-conflict with periods of low-intensity violence. The south of Baghdad is relatively secure but could be drawn into unrest at any time. Rebuilding and addressing the prevailing social inequalities in the liberated areas in two governorates (Salah Ad-Din and Diyala) remain a priority to the Iraqi Government which aims to achieve this through the support of the local population and the international community.

1 Energy Information Administration, Iraq Factsheet, 2014




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10. The World Bank (hereafter “Bank”) along with other donor partners is supporting GoI develop a post conflict reconstruction framework. The Bank will also provide medium to long term support the institutionalization and financing of a Reconstruction Fund2 for the liberated areas. GoI has adopted a two-pronged approach towards addressing the post-conflict needs of the recently liberated areas. First, GoI plans to create the conditions for stabilization and security for the returning population within the first 90 days of liberation. Second, it plans to create incentives for the return of IDPs by jumpstarting the reconstruction of the conflict-affected areas and restoring service provision to its population. The proposed Emergency Operation for Development for Iraq (hereafter “the Project”) is designed to complement the government’s stabilization efforts with the immediate implementation of reconstruction and rehabilitation of priority infrastructure. The Bank will also support inclusive recovery and reconstruction processes through a three-layered approach consisting of: (i) creation of an enabling environment for the recovery and reconstruction of the liberated areas, (ii) effective and timely implementation of the recovery and reconstruction activities, and (iii) the formulation and financing of an integrated and coherent regional development framework for the liberated areas. This would involve, among others, the identification of investment subprojects in the electricity, water, transport, urban and health sectors (additional sectors such as education could be added in time), all managed and implemented through flexible governance mechanisms, fit for the purpose of each of the selected areas. Such subprojects targeting the conflict-affected areas will be aligned with the ongoing sector dialogue and will build on the Bank-funded investment pipeline.

1.2 SECTOR AND INSTITUTIONAL CONTEXT

11. The recent ISIS-created regional conflict has resulted in a humanitarian crisis with the internal displacement of more 2.1 million Iraqis and destruction of infrastructure and services in the former ISIS occupied areas. These displaced populations are living in local communities unassisted seriously by humanitarian relief. This has put an enormous strain on the local economy and access to public services3. The U.N. Office for the Coordination of Humanitarian Affairs estimates about 5.2 million people are in need of humanitarian assistance including food, shelter, clean water, sanitation services,

2 The Reconstruction Fund has been established by the Government of Iraq reporting to the Council of Ministers with an allocated budget of 500 trillion Iraqi Dinars, equivalent to about USD 431 million, to reconstruct damages incurred from the liberation activities from ISIS insurgency. 3 Retrieved from: https://www.mercycorps.org/articles/turkey-iraq-jordan-lebanon-syria/quick-facts-what-you-need-know-about-syria-crisis accessed on April 30, 2015


https://www.mercycorps.org/articles/turkey-iraq-jordan-lebanon-syria/quick-facts-what-you-need-know-about



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and education support. Food and rent prices are increasing, labor market participation remains low and unemployment is high. Due to supply-side constraints and large infrastructure damage and looting, the state has been unable to deliver access to clean water, electricity, solid waste removal and the delivery of basic municipal services. Transport and trade facilities have also been impacted with much of the equipment and vehicles used by customs to facilitate movements along key transit corridors stolen or vandalized. The conflict has also badly affected the legitimacy and capacity of public institutions (local government buildings and services) throughout the affected areas to deliver even minimum levels of outputs to the citizens. The government has made strenuous efforts to deliver salaries, transfers, and Public Distribution System (PDS) rations to the new wave of internally displaced people.

12. The Project will focus on seven targeted municipalities/cities in two governorates including the cities of Tikrit, Dour, Al Dalooeyya and Al-Alam in the Salah ad-Din governorate and Jalula, As-Sadiya and Al-AAzeem in the Diyala governorate (the Project Area). These are the largest cities4 that have been retaken from ISIS in terms of population and have been selected according to the following criteria: (a) significant infrastructure damage; (b) loss of basic resources (water, and electricity); (c) exodus of large groups of refugees; (d) prominence as administrative and socio-economic poles in the two governorates, and (e) relatively stable security. Further, the selection of the seven municipalities was made against a complex political backdrop. This will be done under the absence of a political reconciliation process, uncertainty about citizen inclusiveness and participation, the risk of renewed conflict, and a lack of a comprehensive and sufficient reconstruction project funded by GoI.

1.3 NEED FOR EMERGENCY PROJECT

13. The breakdown in the provision of basic infrastructure and public and social services has been devastating for the entire population in the seven municipalities5. The Bank’s engagement through the Project is aimed at assisting the GoI to reconstruct critical parts of the devastated infrastructure to allow the return of displaced citizens to their homes and cities. It will be instrumental in reviving local economies and improving living conditions by restoring transport links, water supply, sanitation, electricity services, solid waste management, health services and assistance with reconstruction of homes. By supporting government’s recovery strategy to jumpstart service and

4 Henceforth referred to as municipalities. 5 Tikrit, Dour, Al Dalooeyya and Al-Alam in Salah Ad-Din province; and Jalula, As-Sadiya and Al-AAzeem in Diyala province




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infrastructure delivery, the project will also improve social cohesion and facilitate trust-building among affected populations and the state.

14. The Bank’s involvement is compelling given its comparative advantage in preparing and financing major emergency projects worldwide, and its knowledge, skills and experience in the infrastructure sectors. It will utilize existing knowledge and networks to assist with the rapid deployment of this Project. Furthermore, the Bank’s involvement is critical given that it is a major and main lender internationally certified. This Project will be processed under Operational Policy (OP) 2.30 (Development Cooperation and Conflict). The proposed operation is prepared under paragraph 12 (Situations of Urgent Need of Assistance) of OP 10.00 (Investment Project Financing) and benefits from condensed procedures, deferral of environmental and social requirements, and streamlined fiduciary procedures.




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SECTION II: THE PROJECT OBJECTIVES AND RESULT INDICATORS

2.1 HIGHER LEVEL OBJECTIVES

15. The Project’s strategic objective is to contribute towards normalization, through service delivery to all individuals in the liberated areas. This aligns with both the World Bank Group’s twin goals of eliminating extreme poverty and boosting shared prosperity in a sustainable manner and the Middle East and North Africa (MENA) strategy that places special emphasis on challenges posed by fragile and conflict-affected states with a focus on state rebuilding and supporting transition out of instability.

16. As an emergency operation, this Project builds on the flexibility and adaptability instilled into the Iraq Country Partnership Strategy (CPS) (FY13-FY16) discussed by the Board of Executive Directors on December 18, 2012, and is aligned with the PLR for Iraq to be presented to the Board together with this Project. The revised objectives of the CPS are to engage in a two pronged approach, addressing the pressing and immediate needs of a country facing unsustainable, conflict-driven pressures. This will be done through the strengthening of public service delivery and addressing the immediate fiscal stress, as well as looking beyond the conflict to provide for a robust development agenda underpinned by the call for the diversification of the economy and increased opportunities for a more prominent role for the private sector. The intended activities within this Project are also broadly aligned with the key messages that emerged from key stakeholders during the in-country consultations for the Iraq CPS: mainly to build stronger government institutions and a more diversified and regionally integrated economy that can deliver services and create jobs.

2.2 PROJECT DEVELOPMENT OBJECTIVES

17. The Project development objective is to support the Republic of Iraq in the reconstruction of damaged infrastructure and the restoration of public services delivery in Targeted Municipal Areas.

2.3 PROJECT BENEFICIARIES

18. Overall the Project will target the following types of beneficiaries: (i) local government administration and (ii) households.




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2.4 PROJECT DEVELOPMENT OBJECTIVE (PDO) LEVEL RESULTS INDICATORS

19. The Project is to achieve the PDO by addressing results areas that are critical to the reconstruction of damaged infrastructure and restoration of basic public and municipal services. Further, a housing reconstruction needs assessment and a housing reconstruction subsidy scheme will be prepared. Specific measurable outcomes and results that the Project would target are proposed as follows:

1) Direct Project beneficiaries (860,000), of which female (85% of half) 2) Sub-projects with a satisfactory outcome (80%) 3) Number of people in urban areas provided with access to improved water

sources under the Project (430,000) 4) Number of people in urban areas provided with access to improved sanitation

under the Project (430,000) 5) Number of people in urban areas provided with access to regular solid waste

collection under the Project (430,000) 6) Number of people in urban areas provided with access to electricity under the

Project by household connections (387,000) 7) Number of people in urban areas provided with access to all-season roads

within a 500 meter range under the Project (80,000) 8) Number of people receiving primary health services through mobile primary

health units supported by the project (175,000)

2.5 STAKEHOLDERS IDENTIFICATION

20. The activities for the Project will be implemented by the designated Ministry designated PMTs coordinated by the PCU. These will be the key stakeholders involved in project implementation each having varying roles related to oversight and quality control, communications and sensitization, citizens engagement, monitoring and evaluation, supervision and coordination. In addition, the two provincial governorates and seven municipalities would also be within the integral group of stakeholders. The efficient implementation and successful completion of all project activities will rely on an effective coordination mechanism that synergizes all the actions of the stakeholders, who are:

· Reconstruction Fund for Areas Affected by Terroristic Operations - Project Coordination Unit (PCU)

· Project Management Team (PMT)




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· Ministry of Finance (MOF) · Ministry of Construction and Housing (MoCH) · Ministry of Municipalities and Public Works (MoMPW) · Ministry of Electricity (MoE) · Ministry of Health (MoH) · Ministry of Planning (MoP) · Municipal government of Al Dalooeyya · Municipal government of Al-Alam · Municipal government of Dour · Municipal government of Tikrit · Municipal government of Al-AAzeem · Municipal government of As-Sadiya · Municipal government of Jalula · Provincial governorates of Diyala · Provincial governorates of Salah Ad-Din · Civil Society Organization (CSOs) · Non-Government Organizations(NGO)

21. CSOs and NGOs will be identified through the CE process and participate by giving voice to the project beneficiaries, through the various stages of the different project lifecycles.




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SECTION III: PROJECT DESCRIPTION

22. The project is comprised of the following six components: (i) Electricity; (ii) Municipal Waste, Water and Sanitation; (iii) Housing and Transport; (iv) Health; (v) Technical Assistance; and (vi) Project Management, Sensitization and M&E.

23. In order to deliver early visible results in a context of extreme needs and high expectations, project disbursements in Year 1 are expected to fall within the range of USD 40 - 75 million. Some challenges in delivering early visible results are likely to include: (a) a fluid security and political environment that can rapidly change; (b) the need to provide for flexibility and adaptability in the use of available resources and expansion to additional municipal areas; and (c) problems pertaining to effective planning for results and efficient results measurement due to missing data and an inability to effectively design, monitor, and evaluate Project interventions.6. Each of these sectoral interventions are sub-divided as follows: Year 1 activities will concentrate on rapid repairs/supply and installation of damaged infrastructure, alongside damage and need assessment, planning and design and procurement of emergency equipment and goods/materials; Years 2 to 5 will concentrate on the implementation of the rehabilitation and reconstruction works as per the damage assessment.

24. An important precondition to infrastructure repair and reconstruction will be the removal of debris and rubble. Due to the risks of explosive war remnants (EWR) concealed in and under the rubble (both unexploded ordnance - UXO, and deliberately planted explosives) an extensive explosive ordnance disposal (EOD) would have to be an integral part of rubble removal. During appraisal, the Iraqi delegation has confirmed that demining has been or will have been completed in all identified areas of subproject implementation by the time Project activities are expected to commence. Confirmation that sub-Project locations have been cleared of EWR, IEDs and UXOs will be sought from the relevant authorities (the Ministries of Interior and Defense). No sub-project activities will be undertaken without this assurance. In a similar manner as the completion of the required safeguards documents, the declaration of absence of ERW will be a criterion to allow any Bank-financed works to proceed

25. The Project will also support technical assistance towards planning and designing urban development and future infrastructure schemes and will also support project management, sensitization and monitoring and evaluation

6 2014, World Bank Guidance Note: Investment Project Financing Projects in Situations of Urgent Need or Capacity Constraints




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component. Technical assistance will have a strong focus on data collection to better understand current vulnerability and conflict-related risks and social tensions, how these risks evolve over time, and their impact on the project. A consultative and participatory decision making process will be built into the Project to promote trust-building among concerned stakeholders. These interventions are also designed to generate employment opportunities and to help develop small- and medium-sized contracting industry by generating demand of other sectors such as construction materials and related services. During Year 1, the Project will also finance the supply of items, included in the positive list in Annex 3 of the Project Appraisal Document, required for reconstruction and rehabilitation activities. The Bank will closely monitor progress and disbursements. The design of the Project components provides flexibility to be scaled up in response to emerging needs. New municipalities in the Salah Ad-Din and Diyala governorates, as well as in the Kirkuk, Anbar, Ninewa and the three KRG governorates are to be incorporated into the Project during implementation. Any additional/substituted areas will need to: fulfill the basic selection criteria, be appraised individually and, in all likelihood, funded with additional resources.

3.1 COMPONENT 1: RESTORING ELECTRICITY INFRASTRUCTURE AND CONNECTIVITY

26. According to a recent World Bank Report7, inadequate electricity is identified by nearly two-thirds of respondents as a priority concern. Iraq Investment Climate Assessment (ICA) Assessment8 shows that 73 percent of the firms operating in Iraq identified the lack of sufficient electricity supply as a “very severe obstacle” to productivity, private sector development and job creation. Upon the liberation of the seven cities, the MoE (implementing agency of the Electricity Component) has assessed damage and urgent investment needs in the transmission and distribution networks and preliminarily identified urgent repair and equipment needs to restore the electricity supply.

27. During the ISIS crisis, high/medium/low voltage transmission and distribution infrastructure has been damaged or remained partially dysfunctional, and the sector issues and constraints have been aggravated. Upon the liberation of the seven cities, the Ministry of Electricity (MoE) (implementing agency of the Emergency Operation for Development (EOD or Project) Project’s Electricity Component) has assessed damage and urgent investment needs in the

7 World Bank Report, Poverty, Inclusion and Welfare in Iraq 2007–2012 8 World Bank Report, 2012, Iraq Investment Climate Assessment.




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transmission & distribution networks and preliminarily identified urgent repair and equipment needs to restore the electricity supply.

28. In this regard, the proposed Project’s Electricity Component (Component) aims to supply equipment for the repair and reconstruction of the damaged electricity distribution and transmission networks in seven municipal areas: Tikrit, Dour, Al-Alam and Al Dalooeyya in Salah Al-Din governorate, and Jalula, As-Sadiya and Al-AAzeem in Diyala governorate thereby allowing the Government of Iraq to mainly achieve the following:

· provide urgently needed goods and materials, damaged and/or lost during the crisis, which would enable emergency repairs and system strengthening; and

· Increase reliability and level of electricity supply to the households.

29. The proposed Project’s allocated fund (World Bank or IBRD Loan) for the electricity component will finance the following sub-components:

30. Year 1 of procurement:

a) Sub-component 1 – Procurement of Emergency Equipment and Goods/Materials based on the emergency equipment needs, MoE will procure goods/materials such as substations, transformers, feeders, connectors, wires, cables, metering, etc.

31. Years 1 - 5 implementation:

b) Sub-component 2 – Implementation of the Emergency Investments identified in Year I the MoE and its contracted firms will be installing the purchased equipment and commissioning the required facilities to supply electricity in the seven municipal areas.

c) Sub-component 3 – Technical Assistance will be provided for the supervision of electricity sub-projects implementation.

32. The investment options and purchase of equipment/goods for reconstruction and rehabilitation will be selected on a least-cost basis. Specifications for equipment will be consistent with the design and structure of the existing network, and to appropriate safety standards. The Project will employ modern technological practice in reconstruction, rehabilitation and reconfiguration of the distribution and transmission networks.




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3.2 COMPONENT 2: RESTORING MUNICIPAL WASTE, WATER AND SANITATION SERVICES

33. In line with the recommendations provided by the National Solid Waste Management Plan (NSWMP) for Iraq, this project will support quick repairs as well as technical assistance to improve solid waste management in the Project Area.

34. The component will include repair, reconstruction and rehabilitation of existing water, wastewater, and solid waste infrastructure services (Water and Sanitation Subprojects such as water intake, transmission lines, treatment plants, pumping stations, storage tanks, distribution networks, house connections, sewers and trunk lines, wastewater treatment plants, storm water drains) through: (i) carrying out of a water and sanitation damage and needs assessment and identification of Water and Sanitation Subprojects; (ii) preparation of detailed plans and designs for Water and Sanitation Subprojects; and (iii) provision of technical assistance for the supervision and implementation of Water and Sanitation Subprojects. In particular, the component will finance support for the repair of damaged infrastructure and the rehabilitation or reconstruction of approximately 100 km of water supply networks, sewers and drains, and 4,000 m3/hour of water treatment infrastructure. It will also finance the provision of equipment (including but not limited to pumps, chlorinators and water tankers). The reconstruction efforts will use the technical, procurement, and safeguards standards as outlined in the respective detailed plans.

35. The project will also fund the preparation of project area specific Development Plans (and where possible the detailed designs for any improvements and expansion of water, wastewater and solid waste infrastructure) in order to improve public service delivery and allow the Government to implement the plans through its development budget. The preparation of Development Plans will be financed under the Technical Assistance component (Component 5). The project will finance the following activities:

36. Year 1 of project implementation:

· Immediate supply of municipal waste containers and collection trucks/compactors. Removal, haulage and disposal of accumulated garbage in neighborhoods and commercial areas. Rapid repairs of water lines and intakes, and supply and installation of water pumps. Rapid repairs of damaged waste water networks and quick repairs of waste water treatment plants.




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· Water, Wastewater and Solid Waste Damage Assessment: A comprehensive damage assessment led by the MoMPW with technical assistance provided under the project in the seven selected municipalities (and the villages surrounding Tikrit) including the preparation of detailed designs to undertake the rehabilitation or reconstruction of water supply networks, sewer and storm water drains, treatment plants and storage tanks. This assessment will also include a damage to the water and sewer infrastructure of public buildings in the project areas that have been looted, vandalized or otherwise damaged.

· Procurement of Emergency Equipment and Goods: MoMPW has developed a first set of emergency equipment and goods to be provided to alleviate the adverse effects on water, wastewater and solid waste service delivery.

· Repair of Water Treatment Plants and Networks: Where damage has been relatively limited, MoMPW will procure the services of contractors to make the necessary repairs.

37. Years 2 to 5 of project implementation:

· Implementation of the Rehabilitation and Reconstruction Works as per the Damage Assessment: Implementation of the water, wastewater and solid waste rehabilitation and reconstruction works (mostly with regard to the rehabilitation or reconstruction of storage tanks, networks, treatment plants and other infrastructure needed to ensure improved service delivery) in the seven urban agglomerations of Tikrit, Dour, Al-Alam and Al Dalooeyya (Salah Ad-Din governorate), and Jalula, As-Sadiya and Al-AAzeem (Diyala governorate).

3.3 COMPONENT 3: RESTORING TRANSPORT INFRASTRUCTURE AND DEVELOPING A HOUSING RECONSTRUCTION SUBSIDY SCHEME

38. Transport Sector: Most transport infrastructure in the affected region suffered destruction and damage as a result of recent military operations, sabotage and vandalism during the current crisis. The objective of the transport component is to restore and improve the connectivity disrupted due to conflict. The Project will include (i) carrying out of a transport damage and needs assessment and identification of Transport Infrastructure Subprojects; (ii) preparation of detailed plans and designs for Transport Infrastructure Subprojects; and (iii) provision of technical assistance for the supervision and implementation of




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Transport Infrastructure Subprojects. This work will improve the condition of road assets by repair and rehabilitation of highly damaged segments of the primary road network and currently used detour routes in selected municipalities, and re-establish critical bridge crossings and functioning of major culverts. The project will also help restore the functional capacity of these road assets, i.e. to restore normal and safe traffic operations. The proposed civil works on roads and bridges will generate local employment opportunities. The works will be conducted in coordination with rubble removal and will include road structure repairs (mainly pavement, bridge decks, abutments and poles), but also shoulder stabilization, approaches to bridges, road safety signalization and equipment, and drainage repairs. The component will finance the reconstruction of about 150km of damaged roads and associated drainage works, retaining walls, breast walls and other structures to increase resilience. It will also finance the restoration and maintenance of about 13 partially or fully damaged bridges. The development of bridges and roads will follow the technical, procurement, and safeguards standards as outlined in the respective detailed plans.

39. For bridges, categorized as ‘critical’ or ‘non-critical’ depending upon whether the bridge will be essential for post-disaster scenario in the future. This Project will finance the following:

40. Year 1 of project implementation:

· Implementation of the Road and Bridge Repairs and Maintenance: This would include repairs and maintenance of critical sections of roads and bridges in and around the seven selected municipalities under this Project.

41. Years 2 to 5 of project implementation:

· Implementation of the Road and Bridge Repairs, Maintenance and Rehabilitation: This would continue the repairs and maintenance of critical sections of roads and bridges in the seven selected municipalities under this Project as well as the reconstruction of segments of roads and fully damaged bridges. This Project may also support the rehabilitation of damaged roads and bridge in Kirkuk Governorate, should this be confirmed by the Borrower and fulfills the basic selection criteria, appraised by the Bank and funded with additional resources.

42. Housing Sector: With low quality housing stock, population growth around 2.8 percent a year and an accelerated urbanization (of around 73 percent), Iraq’s housing crisis is extreme. Recent estimates indicate that almost 30-40 percent of




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the population lives in very poor housing conditions and that at least 10 percent of the nation's total dwellings are overcrowded. Supporting housing reconstruction and repair in the conflict-affected neighborhoods will: (i) contribute to social and political stability in the two governorates and allow the return of IDPs, (ii) provide local employment opportunities, and (iii) help develop the local small- and medium-sized contracting industry such as construction materials and related services. To maintain a conflict-sensitive perspective due to the protection issues involved and inter-sectarian mix of returning residents, the service delivery will adopt a do-no-harm approach. This Project will promote a pragmatic approach through supporting the GoI in developing a housing reconstruction subsidy scheme that builds on the experience of GoI in similar situations. The financing of the housing reconstruction will be done either from GoI own resources, other donors or could be considered by the Bank through potential future interventions after the GoI had adopted and put into effect the subsidy scheme that is acceptable to the Bank.

43. Given that communities have been forcibly displaced as a result of the conflict, great care will need to be taken over political and social safeguards issues in the formulation of the housing reconstruction subsidy scheme. This involves promoting inclusivity (an attempt to ensure that no one is left behind), equity (consistent and common standards applied), transparency in beneficiary selection (transparent targeting mechanisms and eligibility criteria in place), geographic coverage (all affected areas of the country to be included), and temporal coverage (a clear definition of time period to be covered).

44. The Project will finance:

45. During Years 1 - 2 of project implementation:

46. Housing Damage Assessment: A comprehensive housing damage assessment in the seven selected municipalities will be carried out through technical assistance to MoCH. This assessment will feed into the design of the subsidy scheme below;

· Design of a Housing Reconstruction Subsidy Scheme: The design of a uniform and comprehensive housing reconstruction subsidy scheme based on past GoI practices. Such a scheme would be adopted by the GoI for all the liberated areas in Iraq and will take into account the need for efficient and effective mechanisms in addressing the needs of tenants, informal settlers and mortgaged assets.




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3.4 COMPONENT 4: RESTORING HEALTH SERVICES

47. The large influx of IDPs led to a significant increase in demand for health services and a rise in communicable diseases. According to WHO latest data, acute respiratory infection (ARI), skin disease, and acute diarrhea (AD) remain the leading causes of morbidity reported from all camps. Other assessments indicate that basic laboratory services in health facilities in IDP camps are either nonexistent or insufficiently equipped to handle the growing demand for services9. Communicable diseases, particularly water-borne infectious diseases are also affecting the Iraqi population; Cholera is endemic, with major outbreaks in many parts of the country. Hepatitis E is also reportedly endemic, with an approximately 20.3 percent prevalence rate.10(WHO, 2013a). Threat from non-communicable diseases, malnutrition, maternal and child mortality remain significant health challenges in the country11. Furthermore, the Ministry of Health (MoH)’s capacity to manage the provision of basic services has been jeopardized due to severe deterioration of the health system’s physical infrastructure.

48. The objective of the health component is to improve the delivery of essential healthcare services in selected municipalities to serve the urgent health needs of the Iraqi population. As such, this component will adopt a two-pronged approach: (i) responding to the most urgent health needs through the acquisition of mobile hospitals, mobile clinics and ambulances (specifically this Project will finance three (3) mobile hospitals, fourteen (14) mobile primary health care units and thirty nine (39) ambulances); and (ii) carrying out of a health sector needs assessment and development of a mid- to long-term health care services master plan (to be financed under Component 5).

3.5 COMPONENT 5: TECHNICAL ASSISTANCE

49. This component will cover both sectoral development and technical assistance.

50. Sectoral development: This activity is designed as a preparatory exercise to enable the government identify potentially new sector investment projects that would form the basis of a medium to longer term development plan. There is a need for a coherent urban development and strategic investment master-plan for each of these municipalities is needed. This project will afford the opportunity for such a plan (led by MoCHPM and the Governorates). Namely, the Project

9 World Health Organization, Iraq Early Warning Disease Surveillance Bulletin, March 2015 10 WHO, (2013a). Country cooperation strategy for WHO and Iraq (2012-2017). Geneva, Switzerland: WHO. 11 Global Health Observatory Data Repository. Retrieved from http://apps.who.int/gho/data/view.main


http://apps.who.int/gho/data/view.main



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will provide financial resources for consulting services to support local authorities in developing such plans. The Project will further assist local municipalities to launch a public consultation and awareness process to ensure local ownership and commitment throughout preparation and implementation of such plans. Likely sectors for medium to longer term development approaches could include transport (both urban and inter-urban including railways led by MoCHPM), housing and urban planning (led by MoCHPM), water and waste management (lead by MoCHPM), and health (led by MoCHPM).

51. Technical assistance: This component will provide the following support to sectoral components on a demand driven basis, within four broad topics:

· The first would be the development of: (i) urban development and strategic investment master plans for selected municipalities based on intensive public consultation and awareness programs; (ii) integrated solid waste management plans and designs; (iii) railway infrastructure rehabilitation and safety improvement plans and designs; (iv) cross-governorate expressway corridors plans and designs; and (v) a pilot for the planning and design of infrastructure development and urban planning at the governorate level.

· The second would fall under the theme of state/citizen trust-building and promoting reconciliation in the broader project context, with likely topics being: (i) inclusive participation by local communities, (ii) transparency of resource allocation, (iii) enacting measures to promote tolerance through community-led projects across different social groups, (iv) using targeted media, social media and communications campaigns to disseminate information about the project, and promote trust and solidarity, and (v) addressing local grievances through an effective redress mechanism and developing greater social accountability in service provision..

a. At the Community Level: (i) Identify community leadership who have legitimacy and authority,

and encourage inclusive participation through local committees. (ii) Identify youth and assist with the formation of sentinel groups that

will be created through social media to both feed in to the overall process and also assist with monitoring progress.

(iii) Identify the more vulnerable, such as single/widowed women, the elderly, the poor and the disabled to ensure that adequate housing12 is provided for those in need.

12 Should be considered during the preparation of the housing assessment and housing reconstruction subsidy scheme.




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b. At the Governorate and Municipality Level: (i) Identify ways to involve local authorities who are responsible for

managing utilities and regulating land use and planning procedures. They are also the repository of statistical information on the local population and documentation proving land ownership.

c. At the Private Sector Level: (i) Assess the need to develop a training project for construction workers,

supervisors, inspectors, etc.

d. Utilizing community-led projects and convening interest and stakeholder groups to promote tolerance among different social groups.

e. Using targeted media, social media and communications campaigns to disseminate information about the project and promote trust and solidarity; and to set up virtual sentinel groups that would monitor progress and discuss immediate needs falling under the ambit of the project.

· The third would relate to a broader strategy for the sustainable management of physical cultural resources. This activity will include a systematic and detailed damage assessment of damaged Physical Cultural Resources (PCR), a prioritized list of required interventions, development of a reconstruction and restoration strategy (including standards, guidelines, knowledge and technical resources, and design codes), and design and preparation for the establishment of a fund to support the management of PCR.

· The fourth would entail the carrying out of a health sector needs assessment and development of a mid- to long-term health care services master plan.

3.6 COMPONENT 6: PROJECT MANAGEMENT, SENSITIZATION AND MONITORING AND EVALUATION

52. This component would provide support for Project implementation and management, including safeguards, procurement and financial management, community sensitization and communication, and monitoring and evaluation. It would finance incremental operating costs of the Project, including the Project Coordination Unit (PCU) and Project Management Teams (PMTs). This component will include consultancies required for the preparation and supervision of specific activities, trainings, exposure visits and knowledge exchange projects, etc. Overall, M&E coordination responsibility rests with the




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PCU complemented by close World Bank implementation support. A results framework and monitoring matrix to track inputs, outputs, and outcomes has been developed for the project with intermediate and key performance indicators (See Annex 1 of the PAD). Project implementation progress will be monitored continuously using data compiled by the PCU. A two-pronged approach intertwining Citizen Engagement and Strategic Communication will facilitate raising awareness through the transmission of clear and consistent messages, and enhancing communities’ voice and participation through mainstreamed beneficiary feedback mechanisms. Informing, proactively managing expectations of beneficiaries and communities about the project generating and sustaining broad stakeholder interest and ownership is very important for mainstreaming citizen engagement in the overall project. A stakeholders’ analysis identifying appropriate communication channels and informing beneficiary feedback mechanisms will be initiated at the start of the project.

53. The key elements of the citizen engagement strategy for this Project will include the following: (i) disclosure of important project related information by the GoI on its website and at the appropriate local levels and disclosure procedures agreed with the Bank, (ii) framework for consultation with the key stakeholders ensuring all ethnic groups during planning, design and implementation of all sub-projects; (iii) from Year 2, ensuring free, prior, informed consultation with the relevant stakeholders and their representatives for obtaining broad community support as a part of preparation of specific sub-projects relevant to that area; (iv) ensure the establishment and implementation of Grievance Redress Mechanisms (GRM) at PMTs and PCU levels to meet specific grievance redress requirements of this operation; and (v) promoting community based risk reduction initiatives with the participation of and networking with relevant stakeholders including women, school children, youth, civil society organizations, and local bodies. Mainstreaming citizen engagement mechanisms through the emergency process will consolidate the sustainability of the project impact. The two-way communication work will continue throughout the project life cycle and the messaging will factor-in the analysis of grievances and beneficiaries queries that will have a systemic aspect related to implementation issues.




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SECTION IV: ROLES AND RESPONSIBILITIES

54. The stakeholders will have varying levels of responsibility and authority when participating on project activities which will evolve over the course of the project life cycle. Their responsibility and authority will range through the project implementation cycle and will entail management, coordination and supervision, as well as contributions to communications and sensitization, citizen’s engagement, monitoring and evaluation. At the Ministries level ensuring political support amongst all communities will be essential.

4.1 GOVERNMENT

55. The Reconstruction fund (RF) The overall responsibility for Project coordination lies with Iraqi Council of Ministers through a Project Coordination Unit (PCU) under the Reconstruction Fund for Areas Affected by Terroristic Operations. In turn, Project Management Teams (PMTs) established within counterpart Ministries will be responsible for sectoral (energy, transport, water and sanitation, municipal solid waste management, housing, health) project implementation. During implementation, additional sectors may be added to the Project, subject to these fulfilling the basic selection criteria. Moreover, in such cases the Project would be restructured, as needed, to accommodate these additional sectors. Furthermore, it is possible, that additional ministries and PMTs would be added to the overall implementation structure. At each of the municipalities (project sites), the PMTs will be supported by Technical staff from the Ministries’ regional offices. The proposed management structure for the project takes into consideration the difficult security conditions and weak implementation capacity by incorporating the lessons learned during implementation of ongoing Bank-financed projects. The structure constitutes the PMT model albeit in an expanded form with staff seconded from various Government Ministries and Departments.

56. Ministry of Finance (MOF) This Ministry is the representative of the GoI as the recipient of the World Bank loan and accordingly is authorized to sign the loan agreement from GoI side with International Fund Institutions (IFIs). MOF will make the loan proceeds available to the Reconstruction Fund and Ministries participating in this project. The MOF will also coordinate with the RF in all issues pertaining financial matters particularly the transfer of fund. The RF will furnish MOF with regular progress reports on disbursing the loan proceeds.




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57. Ministry of Planning This Ministry is responsible for overall planning including coordinating financial support acquired from friendly countries and IFIs. This Ministry participates in discussions on the progress of project implementation and would work with others to facilitate challenges that may face implementation.

58. Ministries of Construction and Housing, Public Works and Municipalities, Electricity, and Health. These ministries will have the responsibility to implement activities specifically related to their sectors. They will do so through Project Management Teams (PMTs) comprised of qualified specialists from their own staff supported by consultants to be hired by the project. (Note: Ministries of Construction and Housing, Public Works and Municipalities have been recently merged as part of the reform process currently undergoing by the government however separate PMTs addressing their respective sectors will be maintained under the newly named Ministry of Construction, Housing and Public Municipalities).

59. Governorates and Municipalities: This project will be implemented in seven municipalities in two main governorates including the Tikrit, Dour, Al Dalooeyya and Al-Alam in the Salah ad-Din governorate and Jalula, As-Sadiya and Al-AAzeem in the Diyala governorate. In addition to being the largest municipalities that have been retaken from ISIS in terms of population, the municipalities have been selected according to the following criteria: (a) experience of significant infrastructure damage; (b) loss of basic resources (water, and electricity); (c) exodus of large groups of refugees; (d) their prominence as administrative and socio-economic poles in the two governorates, and (e) they have the most relatively stable security. Additional governorates and municipalities that meet the criteria may be added in the future through mutual agreement between the Government and the Bank.

60. Representatives from the two governorates and targeted municipalities have been engaged in identifying priorities and damages to be repaired through this project. Any changes in these priorities will be agreed to by them in coordination with the RF, sectoral ministry(ies) and the Bank. The governorates and municipalities will extend all necessary support to the implementing agencies, contractors and consultants towards smooth implementation of the project activities. They will also assist in promoting employment of the local people in these activities. They will also play an important role as monitoring indicators in the measuring improvement in services as a result of repairs financed by the project. Their staff shall also participate during the handing




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over of the completed activities in reviewing the work and register their comments.

4.2 RECONSTRUCTION FUND - PROJECT COORDINATION UNIT (PCU)-

61. PCU and the PMTs are forming the core unit in the project. The PCU will play the following roles

· Coordinate with all ministries and stakeholders. · Consolidate and disseminate all reports from the PMTs and reflect the work

progress to higher officials. · Coordinate all monitoring and assume responsibility for internal and external

independent evaluations. · Coordinate the citizen’s engagement program. · Coordinate the communications and sensitization program. · Coordinate training activities and capacity building programs. · Ensure compliance with all legal obligations and instruments. · Participate in Bank support missions.

4.3 PROJECT MANAGEMENT TEAMS (PMTS)

62. The PTMs will be directly responsible for planning, coordinating, monitoring, and evaluation of all activities including consultant selection, reporting, procurement and auditing, and payment authorization. The high level tasks are:

· Design review and approval of projects. · Supervision of SOE, contractors work and consultants services. · Procurement. · Financial Management. · Safeguards monitoring. · Citizen Engagement. · Monitoring and studies. · Reporting (quarterly, progress etc.). · Training and capacitation (of local staff in state, SOE and CSOs).

4.4 MONITORING AND EVALUATION TEAM

63. An M&E focal point will be located within each PMT tasked with the responsibility for carrying out the M&E activities. The PMTs will be coordinated by a PCU based M&E specialist who will assume overall




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responsibility for the M&E component of the project. The PCU based M&E specialist will, together with M&E consultants and the Bank draft the parameters of the M&E program, thus establishing the mechanisms for data and information collection and the overall project reporting, including formats and frequency, to ensure that timely, sufficient, and reasonably complete and accurate information on project inputs, outputs and outcomes are collected, analyzed and disseminated. Consultant experts financed by the project may assist the M&E PCU specialist and PMT focal points with research activities and reporting. In addition to regular monitoring, evaluation and study, the project will conduct and provide support to conducting tracer studies, impact assessments, and other research activities. The M&E team will also be responsible for drafting the ToRS for the annual independent evaluation, as well as quality controlling the output.

64. The PCU M&E Specialist will:

• Contribute to the establishment and future revisions of the M&E related sections of the PIM.

• Monitor and evaluate, on a continuing basis, the effective implementation and reporting of the Project.

• Collect data needed to keep track of the overall advancement of the Project (as specified in the section M&E and Project Reporting).

• Collect data needed to assess the indicators from the results framework. • Ensure that all data and information collected is analyzed. • Ensure that all data, reports and evaluations are disseminated to all relevant

recipients. • In cooperation with the Project coordinator, prepare quarterly and Annual

Project Reports.

65. The PMT M&E Specialist will:

• Monitor and evaluate, within their project components on a continuing basis, the effective implementation and reporting of the Project.

• Collect data needed to keep track of the overall advancement of their project components.

• Collect data needed to assess the indicators from the results framework. • Ensure that all data and information collected is timeously sent to the PCU

M&E specialist. • Ensure that all reports and evaluations from the PCU M&E are disseminated

to all relevant recipients within the PMTs, municipalities, local government agencies, CSOs, NGOs and any other stakeholders still to be identified.




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• Prepare monthly project component Reports covering all 7 covering all 7 municipalities.

66. Qualifications

• Bachelor’s degree in Business, Public Administration, Development or any related field.

• 5-8 years of experience in the field of M&E. • Good communications skills in Arabic and English languages. • Ability to work as part of a team.

4.5 COMMUNICATIONS AND SENSITIZATION TEAM

67. The C&S responsibilities will, like the M&E team be distributed between the PCU where there will be a PCU C&S specialist and within each PMTs, where there will be a C&S focal point. The overall objective of this C&S project team will be to proactively create awareness to explain the project, its objectives, its ambition and its limits. Such an initiative will be designed to give hope and signal the intent of the State to expand its presence and reestablish trust and legitimacy with citizens as well as manage expectations.

68. The PCU C&S specialist will:

• Set clear C&S objectives. • Develop the C&S strategy to support the implementation of the project

(identification of key stakeholders, messages, channels and tools). • Prepare media and communication strategy to support project

implementation. • Identify target groups and stakeholders. • Identify C&S tools and methods based on local context. • Target C&S messages for each generic target group and stakeholder. • In collaboration with a specialist C&S consultant, draft and finalize C&S

plans. • Relay and/or distribute information to target groups. • Assist with the training and on-going mentoring of PMT C&S focal points

and if necessary other implementing agencies • Draft the project grievance redress mechanism and develop the appropriate

communication messages, tools and channels to promote it and evaluate its effectiveness in conveying beneficiary feedback and bringing complaints to closure.

• Monitor (with M&E team) and report on C&S performance.




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69. The PMT C&S focal points will:

• Implement the C&S strategy at the local level. • Create both a network of information collection and feedback points to both

gather information from citizens and beneficiaries and communicate Project activities back to them.

• Assist with the inaugural stakeholder mapping and audience analysis to determine the most appropriate communication channels to use with various audience groups and determine appropriate messaging streams.

• Frontline in planning, organizing and rolling-out consultation sessions with various stakeholder groups to assess project perceptions, views and shifting expectations of the Project.

• Organize and conduct regular information sharing meetings, public hearings, consultations, training courses, media briefings, press conferences, radio and TV spots.

• Assist the PCU C&S in drafting and dissemination of press releases, FAQs, talking points, speeches, fact sheets, brochure, etc.

• Ensure close monitoring of the media coverage on the public’s understanding and perceptions regarding implementation of the project related sectors and activities in each municipality and provide monthly updates to the PCU C&S specialist.

• Frontline collection and feedback related to the Project grievance redress mechanism.

• Monitor (with M&E team) and report on C&S performance. 70. Qualifications:

· Bachelor’s degree in Public Communications, Journalism, Public Administration, Development or any related field.

· 8-10 years’ experience in public service with focus on sensitization and public media.

· Excellent writing and speech communication skills in Arabic and English. · Good interpersonal skills. · Good knowledge of the Iraqi social and political system. · Ability to work as part of team.

4.6 CITIZEN ENGAGEMENT TEAM

71. The Citizen Engagement (CE) Specialist. The CE is responsibilities will, like the M&E and C&S teams will be distributed between the PCU where there will




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be a PCU C&S specialist and within each PMTs, where there will be a C&S focal point. The overall objective of this C&S project team will be to ensure a strong inclusive interaction with citizens, sensitizing them to the benefits they will be receiving as well as providing the means to monitor the fairness and the transparency of the rebuilding process. It is intended that such an initiative will strengthen beneficiary feedback mechanisms such as the establishment of a grievance redress mechanism and giving effective voice to citizens’ concerns and queries. This will provide Project with a reliable, real time, system check, and an early warning mechanism so as to discourage corrupt practices, ease social tensions and promote participation and inclusion. Ultimately, project success will depend to a significant degree on the Government’s ability to engage effectively with its citizens.

72. The PCU CE specialist will:

• Set clear CE objectives. • Develop the CE strategy to support project implementation. • Identify citizen target groups and citizen stakeholders (CSOs and NGOs,

also Faith Based Organizations FBOs, and other organized citizen groups)). • Identify CE tools and methods based on local context. • Target CE modalities for each generic target group and stakeholder. • Assist with the training and on-going mentoring of PMT CE focal points and

if necessary other implementing agencies • Monitor (with M&E team) and report on CE performance.

73. The PMT CE focal points will:

• Implement the CE strategy at the local level. • Create a CE network of CSOs, NGOs, FBOs, etc. with whom to work with. • Assist with a baseline assessment to determine local modalities of the CE

strategy. • Frontline in planning, organizing and rolling-out the CE strategy. • Monitor (with M&E team) and report on C&S performance.

74. Qualifications:

· Bachelor degree or post graduate studies (Master or PhD degree) in Development or Social Studies, Communications, Development or any related field.

· 8-10 years’ experience in public service with focus on sensitization and public media.




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· Knowledge of community based projects · Excellent writing and speech communication skills in Arabic and English. · Good interpersonal skills. · Good knowledge of the Iraqi social and political system. · Ability to work as part of team.

4.7 PROCUREMENT SPECIALISTS

75. The responsibilities of the Procurement Specialists at PMTs are to ensure all procurement activities of the Project are carried out in accordance with the PIM, and with the WB Procurement Guidelines. The procurement specialist will:

• Review and update the agreed Procurement Plan as required, take steps to ensure planned timelines are closely followed, and communicate any changes to the Bank through relevant PMT manager or directly as authorized by the PMT manager;

• Assist the PMT in the preparation and review of all bidding documents (BD) and requests for proposals (RFP), including notices, invitation letters, terms of reference, technical specifications, evaluation criteria, bid evaluation reports, and draft contracts for Works, Goods, non-consultancy & Consultancy services;

• Assist and/or manage the bid & proposal opening procedures, preparation of minutes of bid opening, ensuring these are in line with the bidding documents and Bank Guidelines;

• Provide the bid opening, and evaluation committees, and any other relevant staff, the necessary guidance and training as needed to ensure uniform bid opening & evaluations in line with the bidding documents and requests for proposals.

• Assist the PMT with monitoring the contract management and modifications to the Contract;

• Maintain a coherent filing and recording system to include procurement steps from planning & preparation to contract management and finalization of contracts, including all the correspondence, claims, reports, etc.

• Ensure inspection of goods and services received, and that they are in compliance with specifications and quantities with purchase orders and contracts. This can be done by the Procurement Specialist, or delegate to other staff or a hired consultant/consulting firm upon coordination with PMT manager;

• Ensure Bank Clearances (No Objections) for prior review contracts are obtained in a timely manner, including preparation of the requests for No




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Objections, clearly stating what is being asked to be cleared, along with supporting documents:

• Assist the PMT with preparation of procurement and physical progress reports as required for the Project and contribute to other reports.

• Monitor procurement processing in close collaboration with the financial specialist and maintain a realistic planning allowing proper budgeting and assisting with preparation of disbursement plans;

• Get Familiar with the relevant Bank systems, including Client Connection system, and how it is used for publication of notices, or exchange of documents;

• Contribute to the PIM procurement section updates.

76. Qualifications:

· Bachelor’s degree in Public Administration, Business Management, Development or any related field.

• 8-10 years of experience in public procurement • Good knowledge of the Iraqi procurement laws and bylaws. • Good knowledge of the WB’s procurement gridlines and procedures with

proven ability to apply the guidelines for the procurement of Works, Consulting services and Goods.

• Good English, writing, speaking and reading. • Ability to work as part of a team.

4.8 FINANCIAL MANAGEMENT SPECIALISTS

4.8.1 FINANCIAL MANAGEMENT FUNCTIONS 77. The Project Management functions will be filled in with a Financial Manager

and 1 Accountant. However, the workload will be monitored and if a need is identified, the services of a second accountant will be requested. Their responsibilities would be as follows:

4.8.2 DUTIES AND RESPONSIBILITIES OF THE FINANCIAL OFFICER (CONSULTANT) 78. Under the general direction of the PMT, the Project Financial Officer (FO) will

head the financial management function of the project in close coordination with the Ministry Finance Department and will supervise the work of the Accountant. He/she will ensure that a proper financial management system is in place, with appropriate internal control, records, and books of accounts; that these are reliable, timely, and in accordance with generally acceptable




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accounting principles and government regulations; and that financial and other reports as needed are maintained and prepared on a timely basis, communicated to the appropriate users, and properly filed at the PMT. He/she is responsible for:

• Implementing and managing financial and accounting systems to follow on the project accounts and expenditures;

• Preparing, processing and ensuring the authorization of payments. • Preparing the financial statements and reports of the PMT and interpreting

the variances when compared to the project budget,; • Coordinating with the MOF to budget for the project funds. However, MOF

still does not include grants in the budget of the related ministry. • Preparing the project financial and accounting manual of policies and

procedures relating to the project • Regularly reviewing the internal control system to ensure that the agreed

upon mechanisms, procedures, and systems are being followed ; • Compiling all project activities and monitoring PMT’s operating costs; • Preparing the yearly budget of the project in consolidation with the Director

and government counterpart. It should also reflect the annual budget covering all activities of the project for submission to the MOF and MOP, subject to their request;

• Reviewing and approving monthly bank reconciliations. • Communicating with the PMT Procurement Officer about the contracts

status for cash forecasting purposes; • Preparing disbursement schedules and financial forecasts for the project; • Maintaining adequate records of authorized appropriations and the

determination of all sums expended pursuant thereto are properly accounted for;

• Maintaining adequate records of all procurement and consultant’s contracts; and following up on the bid performance securities, validity and renewals;

• Verifying payments to ensure that the expenditures have been properly budgeted, authorized and approved;

• Verifying, on regular basis, the petty cash expenditures to ensure that these are properly authorized and recorded with all supporting documentation;

• Managing the cash balances to ensure the efficient use of funds, through following up on the signed contracts and all committed funds;

• Verifying withdrawal applications for the disbursement of World Bank funds verifying payment orders; maintaining and supervising all accounting records of the project and preparing and interpreting the financial statements and reports of the PMT.




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• Safeguarding project assets and project supporting documentation for auditing purposes and maintaining fixed assets register;

• Communicating with the project external auditor and the government Board of Supreme Audit.

4.8.2.1 Qualifications: 79. Proposed qualifications:

• A minimum of a Bachelor degree in financial management, accounting or auditing, with an understanding of procurement.

• A minimum of 10 years of financial management experience, preferably with an auditing or accounting firm.

• A good knowledge of and ability to apply the generally accepted accounting principles.

• The ability to translate planned activities into concrete budgets and establishes standard unit costs and analyzes and reports them for the purpose of recommending improvements in operations.

• Proficiency in speaking and writing in both Arabic and English. • The ability to supervise accounting and other financial functions and report

financial information usable to the various stakeholders: Government, Bank, and auditors.

• The ability to supervise accounting work and motivate others to achieve positive actions and results.

• Proficiency in the use of computers, accounting and other software applications.

80. Experience and performance in prior assignments would also be a key factor in the selection process.

4.8.3 PROPOSED DUTIES AND RESPONSIBILITIES OF THE PROJECT ACCOUNTANT(S) 81. Under the supervision of the FO, the accountant will be in charge of recording

all financial transactions, retaining the supporting documentation, preparing the financial reports of the project as required by government regulations and the Legal Agreement, preparing annual and interim project’s financial statements to reflect the financial position of the project and for auditing purposes. He/she is responsible for:

1) Collecting and filing all supporting documentation on all financial transactions of the project after issuance of payment




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2) Recording on a daily basis all the financial transactions after ensuring that they have been properly authorized and in accordance with the budget and the PMT procedures of internal control;

3) Preparing monthly banks reconciliation, including DA to reflect the monthly receipts and disbursements from the DA and from the grant account in the case of direct payments;

4) Preparing quarterly project financial statements under the FM‘s direct management, and liaising with the Procurement Officer, to include quarterly procurement results;

5) Preparing withdrawal applications for the disbursement of World Bank funds and for the replenishment of the Designated Account (DA), if a DA is opened and used for the project and preparing payment orders;

6) Any other tasks as required by the PMT Leader.

4.8.3.1 Qualifications: 82. Proposed qualifications:

• A minimum of a Bachelor’s degree in accounting or auditing. • A minimum of 7 years of accounting experience. • The ability to operate accounting software, keep updated accounting records

and books of accounts, and generate project’s financial statements and other reports as needed by the Project’s management.

• Knowledge of English would be an asset.

83. Experience and performance in prior assignments would also be a key factor in the selection process.

4.9 ENVIRONMENTAL & SOCIAL SAFEGUARDS SPECIALISTS

84. The responsibility for the implementation of the above described safeguards instruments and processes will be with the PMTs (project management teams) working under the overall Program Coordination Unit, who will be responsible for compliance with domestic environmental regulations, as well as the Banks E&S safeguards policies. The PMTs and the PCU will be staffed with qualified environmental and social specialists that will follow-up with the preparation and implementation of the safeguards instruments laid out in an Environmental and Social Management Framework (ESMF, see section 7).

85. The World Bank Group Task Team will be responsible for ensuring the timely commencement of the preparation of ESMF, RPF, ESMPs and as the case maybe the limited ESIAs or RAPs/ARAPs as needed. The task team will ensure




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that no contracts for works that have a physical impact are signed, or re-construction or rehabilitation of proposed activities starts without the required safeguards instruments in place.

86. Depending on the circumstances (especially the accessibility and security situation at sub-project areas), Third Party Monitoring (TPM) will also be used for supervision and monitoring and would thus complement the efforts of the PMT’s E&S specialists, as well as the WBG task team.

87. The WBG Task Team will also review ToRs (if required) as well as the ESMF, RPF, ESMPs and limited ESIAs or RAPs/ARAPs if needed, to ensure that their scope and quality are satisfactory to the Bank, will review tender documents and construction contracts regarding due consideration of the safeguards instruments, and the inclusion of effective and enforceable contractual clauses. Finally, the task team will also monitor the implementation of the different prepared instruments through regular supervision missions (which will include an environmental and/or social specialist) during which document reviews, site visits and spot-checks will be conducted. The WBG task team will liaise with, and monitor the activities of the Third Party Monitoring Agent (TPMA), who will be contracted by the WBG.

88. One important additional role of E&S staff from both PMT and WBG TT will be to liaise with the teams responsible for technical / engineering design as well as procurement, to ensure that the E&S safeguards instruments are duly referenced in the works contracts, and clear, specific, unambiguous clauses introduced to oblige Contractors to adhere to all subproject-specific E&S provisions, as well as overall good housekeeping practice. The contracts should also contain a system of remedies and penalties to enforce the contract in case of non-compliance.

89. The detailed roles and responsibilities in sub-project-level safeguards processing are described in detail in Section 7.1

90. Each PMT in line ministries should assign one Social Development Officer who will undertake the following responsibilities:

• Providing oversight on the compliance of social safeguards policies in project preparation and implementation;

• Periodically reviewing and assessing the effectiveness of the activities implemented and their outcomes and impacts as well as compliance with national and international standards and social safeguards instruments, and




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• Providing recommendations and advise the project management on measures to enhance the effectiveness of the project implementation and achievement of the project development objectives through appropriately addressing the social issues of the project, including land acquisition, resettlement and compensation.

91. More specifically, SDO will undertake, but not limited to, the following:

• Preparing internal guidelines for the preparation, implementation, monitoring and reporting of social documents required by various safeguards instruments;

• Reviewing ESMF/ESMP/RPF/RAPs and other social safeguards documents to ensure compliance with relevant safeguards policies of the government and the World Bank;

• Providing recommendations to project management accordingly and make necessary changes prior to submission of relevant social documents to the World Bank – ensure consistency in the level of proficiency and presentation of the documentation;

• Carrying out documentation review pertaining to social compliance (including bidding documents, reviews on-site, reports from contractors etc) during project implementation;

• Conducting internal monitoring of implementation of RAP and social part of ESMP in matters pertaining to timely payments, provision of temporary measures to affected persons;

• Contributing to project progress reports pertaining to overall implementation of social requirements of the project;

• Coordinating and facilitating the work of consultants engaged to carry out environmental and social impact assessments and resettlement planning and external monitoring of safeguards instruments implementation;

• Organizing the technical aspects of workshops and meetings as required, as outlined in the ESMF/RPF training and capacity building section;

• Preparing training materials, and conducting technical training workshops to project implementation agencies on social safeguards requirements; and

• Undertaking field visits to ascertain if the grievance redress mechanisms established for the project are functioning appropriately and the individual projects are implemented in social sustainable manner.




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92. Proposed qualifications:

• A minimum of a Bachelor’s degree in Development, Sociology, Anthropology or similar field of study.

• A minimum of 5 years of experience working on safeguards on similar fields of work.

• Knowledge of English and Arabic essential.

4.10. THIRD PARTY MONITORING AGENT (TPMA)

93. Considering the risky and unpredictable environment that this project will be implemented and inability of Bank task team to conduct routine visits to the projects sites, a consultant will be hired by the Bank to assist in the supervision of implementation. The TPMA will mainly perform the following tasks:

a) Conduct site visits to verify the accuracy of implementation of the physical activities in accordance with the signed works and goods contracts; and

b) Verify the compliance with the safeguards policies triggered by the project activities and the specific environmental and social management plans.

c) Prepare periodical reports to the Bank in which it flags key issues of concerns and recommendations for actions to be taken by the PMT and the Bank.

94. It is expected that all stakeholders will extend all necessary support to facilitate the TPMA to carry-out the assigned duties smoothly and diligently.

4.11. IMPLEMENTATION SUPPORT AND PROJECT MANAGEMENT OF WORLD BANK

95. Supervision and implementation support will be conducted by a Bank team, consisting of designated Task Team Leader (TTL) based in the Middle East and North Africa region, will be responsible for the overall coordination of the project activities while co-TTLs of relevant Global Practices will be responsible for supervising and coordinating with their related PMT counterparts of work activities under the project components. To the extent possible and for effective interaction and response to clients’ inquiries and requests, project supervision will be supported by the Bank staff based in the region. Supervision activities




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will also be supported by TPMA who, given the project risk, will be hired to support the Bank office in Baghdad and to carry out periodic field investigation and reporting to the Bank team. Year 1 of project implementation will feature three structured implementation support missions with informal follow up meetings as needed.




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SECTION V: IMPLEMENTATION ARRANGEMENTS

5.1. OVERALL IMPLEMENTATION ARRANGEMENT

97. Implementation arrangements are designed to ensure an appropriate balance between ensuring rapid delivery and effective execution of the project. The overall responsibility for Project coordination lies with Iraqi Council of Ministers through a Project Coordination Unit (PCU) under the Reconstruction Fund for Areas Affected by Terroristic Operations13. In turn Project Management Teams (PMTs) established within counterpart Ministries will be responsible for sectoral (energy, transport, water and sanitation, municipal solid waste management, housing, health) project implementation. At each of the municipalities (project sites), the PMTs will be supported by Technical staff from the Ministries’ regional offices. The following sections detail the implementation arrangements for each of the project components.

5.2 COMPONENT 1: RESTORING ELECTRICITY INFRASTRUCTURE AND CONNECTIVITY

98. Iraq’s electricity network (generation, transmission and distribution) has suffered chronic deterioration, and are now overloaded, unreliable and in need of significant investment since 1990s. The poor state of network infrastructure is compounded by the absence of effective metering, billing systems, and customer management systems, resulting in very high technical and non-technical losses (approximately 42% of electricity generated does not make it to the end consumer). Whilst electricity supply is constrained by limited system capacity and inefficiency, demand continues to grow unabated (over 7% per year) given the lack of any real price controls or demand side management. As a result, the electricity supply was already highly constrained prior to the ISIS conflict, with supply only being provided for 10-12 hours per day. According to a recent World Bank Report “Poverty, Inclusion and Welfare in Iraq 2007–2012”, the most prevalent deprivations in Iraq are lack of sanitation (83%), inadequate electricity (64%) and poor nutrition (32%), followed by water and school attendance.

99. In this regard, the proposed Project’s Electricity Component (Component) aims to supply equipment for the repair and reconstruction of the damaged electricity distribution and transmission networks in seven municipal areas: Tikrit, Dour,

13 The Reconstruction Fund has been established by the Government of Iraq reporting to the Council of Ministers with an allocated budget of 500 trillion Iraqi Dinars, equivalent to about USD 431 million, to reconstruct damages incurred from the liberation activities from ISIS insurgency.




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Al-Alam and Al Dalooeyya in Salah Al-Din governorate, and Jalula, As-Sadiya and Al-AAzeem in Diyala governorate thereby allowing the Government of Iraq to provide urgently needed goods and materials, damaged and/or lost during the crisis, which would enable emergency repairs and system strengthening; and increase reliability and level of electricity supply to the households.

5.2.1 MILESTONE ACTIVITIES 100. The Ministry of Electricity (MoE) will have the overall responsibility of

implementing, coordinating, guiding and supporting the different activities of the electricity component. An Electricity Project Management Team (EPMT) within the MoE will be established for implementation of the electricity component. The EPMT will report to the Minister of Electricity and main Project Coordination Unit (PCU) for Emergency Operation for Development.

ROLES AND RESPONSIBILITIES MOE 101. The Ministry of Electricity shall have the overall responsibility of ensuring

that the Electricity component responds to the emergency needs in the selected areas and is implemented in accordance with the agreed and applicable laws and procedures. Specifically, the MoE shall:

a) Provide the overall guidance in the selection of the various proposed interventions/component activities, The MoE shall give overall implementation guidance and formally review progress and approve the component’s annual action plans

b) Ensure that the PMT is adequately staffed, inclusive of technical and fiduciary expertise, to ensure smooth implementation of the project

c) Through the respective Departments and Directorates (transmission and distribution) be responsible for the installation of the equipment to be supplied with the support of the PMT

d) Provide the necessary oversight and approvals as maybe required

PMT 102. The PMT shall be responsible for the implementation of electricity component

including but not limited to the following general functions contacts management, procurement, financial management, stores management, safeguards and reporting.

103. Specifically, EPMT will be responsible for:




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i. Ensuring consistency of the electricity component with policy, regulations, and procedures of the Government, the Parliament and the World Bank, other key stakeholders;

ii. Coordinating all the implementation of all the electricity component including:

a) Progress monitoring of the component activities b) Identification of opportunities for collaboration/synergy among

project stakeholders and seeking to operationalize them c) Identifying problems and bottlenecks and proactive seeking to address

them d) Maintaining a focus on component objectives and assisting

stakeholders to re-align as needed to better achieve objectives e) Assess project ‘soft costs’ to ensure they are well aligned with main

Project (Emergency Operation for Development) objectives and contribute to results as measured by the Results Framework.

iii. To arrange for regular coordination meetings with the main PCU with the purposes of monitoring and evaluation of the subcomponent progress;

iv. To prepare and regularly update budgets with the PCU; v. To prepare quarterly and annual progress reports for submission to the

World Bank and PCU; vi. To prepare the quarterly consolidated Financial Monitoring Reports (FMRs)

of the implementing the component under its financial jurisdiction and backup support;

vii. To arrange for the financial reviews and audits of the component; viii. To prepare and regularly update a consolidated Procurement Plan for

submission to the World Bank and other stakeholders and provide back up support for procurement review;

ix. To monitor the progress of all the procurements to ensure compliance and timeliness; and

x. To prepare regular financial projections and financial monitoring of the investments.

5.2.1.1 Project Selection Stage 104. The Project selection includes identification and procurement of the

equipment/goods needs for the repair and reconstruction of the damaged electricity distribution and transmission networks and limited in this phase to seven municipal areas (Tikrit, Dour, Al-Alam and Al Dalooeyya in Salah Al-Din governorate, and Jalula, As-Sadiya and Al-AAzeem in Diyala governorate). Therefore, the purchased equipment will be only used for the repair and reconstruction works exclusively in those areas.




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105. The identification and prioritization of the electricity-related purchase of equipment/goods will be undertaken at the MoE level, with the EPMT tasked with the responsibility for overall project management, planning and implementation of activities pertaining to their jurisdiction, and the day-to-day follow up which includes procurement, quality assurance through third party audits, financial and safeguards management, supervision, quality control, reporting and administration of project funds. Making payments to suppliers, consultants and contractors, and ensuring that funds are disbursed according to Bank guidelines and procedures will also be the responsibility of the EPMT.

106. The EPMT will be responsible for implementing and coordinating equipment/goods identification and procurement activities based on the EPMT’s assessment on repair and reconstruction needs, which have been already presented in the procurement package list.

107. In accordance with Bank guidelines and procedures, the EPMT will be staffed with qualified and experienced specialists including engineers, environmental and social safeguards, financial management and procurement specialists to oversee the implementation of the electricity component, perform the required technical functions, and serve as the focal points for communication with Bank contractors and consultants. The EPMT will be also responsible for preparing the ToRs for tendering, bid evaluation, contract award, contract management, etc. and technical assistance consulting firms (e.g. as Client’s Engineer / Resident Engineer), financed under the World Bank Loan, providing contractors and consultants with support, guidance and training during project implementation, as well as to supervise contractors’ and suppliers’ compliance with all their contractual obligations, as well as compliance with safeguards requirements. In addition, they would oversee the preparation of Diversified Payment Rights (DPRs), including technical designs, surveys and investigations.

108. The EPMT will be also responsible for the sector financial management and safeguards compliance, progress and expense reporting to the PCU, and coordination with line departments for design, implementation, and hand-over arrangements. It will also have to prepare quarterly reports to be submitted to the PCU and ensure that they deal with any grievance redress.

109. Technical Assistance for consultancy services will be also provided for specifications, tendering, technical supervision and quality assurance of the equipment installation as well as support to EPMT and MoE for establishment of monitoring mechanism/arrangements.




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5.2.1.2 Procurement 110. EPMT has the following responsibilities regarding tendering for the

procurement:

a) Preparing the Electricity Procurement Plan in consultation with the MoE and the PCU;

b) Updating the Procurement Plan to reflect actual implementation dates; c) Conducting procurement in accordance with the Guidelines and

Regulations and as per the agreed procurement plan; d) Managing Contract Implementation including ensuring that contractors /

suppliers deliver as per their contracts and that payments are made in a timely manner;

e) Ensuring Procurement Records are properly filed; f) Ensure Procurement Section of FMR is completed and the quarterly

reports submitted within 14 days after the end of the quarter to enable PCU to consolidate them for onward transmission to the Bank and MoE; and

g) Attending Procurement coordination and meetings as required.

111. The EPMT Procurement Unit Staff have the following responsibilities in accordance with the applicable guidelines and procedures:

i. Preparing and updating Procurement Plans; ii. Preparing Bid/RFP Documents;

iii. Preparing and Publish Procurement Opportunities; iv. Handle Bid Opening; v. Preparing Evaluation Reports;

vi. Preparing Contract Documents; vii. Responding to Bidder complaints;

viii. Ensuring that contract awards are published; ix. Contracts Management; x. Securing the requisite approvals from the Government and World Bank;

xi. Any other procurement related activity; and xii. Compiling all procurement data.

112. Each contract to be financed by the World Bank financing will be in the procurement plan prepared by EPMT/MoE and agreed with the Bank. The Procurement Plan will indicate for each contract the method for procurement of goods and works, and method for selection of consultants. The Plan will also indicate the planned and actual cost for each contract, the need for pre-qualification, estimated costs, prior review requirements, and time frame for




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key processing activities. The Procurement Plan will be updated at least annually or, as required, to reflect the actual implementation progress of each contract against planned benchmarks. No procurement will be done if not indicated in the Procurement Plan.

113. The EPMT, at appraisal, developed a Procurement Plan for project implementation which provides the basis for the procurement methods. The plans were agreed between the World Bank and the EPMT. A copy of the agreed Procurement Plan is available in Annex 10. The annual procurement plans shall be submitted to the Bank for approval by the month of September of each Financial Year.

114. The following publication requirements shall be followed for the electricity component;

a) The General Procurement Notice (GPN) will be published in UN Development Business (UNDB) online and the Development Gateway’s dg Market for the electricity component. Copies of the GPN can be obtained from the EPMT.

b) For all contracts procured through International Competitive Bidding (ICB) procedures, the Specific Procurement Notice (SPN) or Invitation for Bids (IFB) shall be published in UNDB online, dg Market, and at least one newspaper of national circulation in Iraq. SPNs should also be transmitted to those who responded to the GPN.

c) For all contracts procured through NCB procedures the Specific Procurement Notice (SPN) or Invitation for Bids (IFB) shall be published in newspapers of national circulation in Iraq.

d) Requests for Expressions of Interest (EOI) for consultancy contracts expected to cost more than [US$500000] shall be advertised in UNDB online and dg Market in addition to a national newspaper or an electronic portal with free access.

e) Requests for Expressions of Interest for contracts expected to cost less than [US$500000] may be advertised national gazette or a national newspaper.

115. EPMT may request the PCU to support them to publish notices in the DG Market and UNDB. Copies of the publications shall be kept on procurement files and shall be annexed to evaluation reports.

116. For all ICB and limited international bidding (LIB) awarded contracts (procurement of goods, works or non-consulting services), must be published in




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UN Development Business (UNDB) online and dgMarket within two weeks after signing of the contract. For consulting services (QCBS, QBS, FBS, and LCS), the contracts must be published in UNDB online and dgMarket (a) the names of all consultants who submitted proposals; (b) the technical points assigned to each consultant; (c) the evaluated prices of each consultant; (d) the final point ranking of the consultants; (e) the name of the winning consultant and the price, duration, and summary scope of the contract. Results for Direct Contracting, Selection Based on Consultants Qualifications (CQS) and Single Source Selection (SSS) shall be published quarterly.

117. Procurement for the proposed project’s electricity investment will be carried out in accordance with the World Bank’s "Guidelines: Procurement under IBRD Loans and IDA Credits" (current edition) and "Guidelines: Selection and Employment of Consultants by World Bank Borrowers" (current edition), and the provisions stipulated in the Legal Agreement.

118. All contracts following National Competitive Bidding, and other lower procurement procedures (shopping, and selective tender for smaller works contracts) will follow the national public procurement law and attendant Regulations, except for the following provisions: [if any].

119. The Bank’s standard bidding documents will be used for procurement under International Competitive Bidding (ICB), and for procurement under National Competitive Bidding (NCB) with appropriate modifications. Alternatively, the standard tender documents for procurements of Supplies, Works and Non-Consultancy Services prepared and issued by the National/Ministerial Authority in charge of procurement may be used for NCB.

120. The Bank’s Standard Request for Proposal document will be used in the selection of consulting firms. Short lists of consultants for consulting services contracts estimated to cost less than [US$200,000] equivalent per contract may be composed entirely of national consultants in accordance with the provisions of paragraph 2.7 of the Consultant Guidelines.

121. Potential selection methods are Quality and Cost Based Selection (QCBS), Quality-Based Selection (QBS), Selection under a Fixed Budget (FBS), Least Cost Selection (LCS), Selection Based on the Consultants’ Qualifications (CQS) and Single-Source Selection (SSS).

122. Potential procurement methods for goods and works are as follows:

123. International Competitive Bidding (ICB): The objective of International Competitive Bidding (ICB) is to provide all eligible prospective bidders with




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timely and adequate notification of a buyer’s requirements and an equal opportunity to bid for the required goods and works. The following features of ICB distinguish it from National Competitive Bidding:

(i) There shall be no restriction on the bidding currency. Bidders shall be free to bid in any currency

(ii) The IFB/ SPN shall be advertised internationally in the UN Development Business (UNDB) online and dgMarket in addition to the local and regional newspapers.

(iii) The procurements shall be subject to the Bank’s prior review. (iv) The World Bank standard Bidding Documents shall be adopted (v) The contract award shall be published in dgMarket and UNDB within

two weeks of Bank’s No Objection. (vi) Domestic preference can be applied as provided for in the Guidelines

and SBD 124. Limited International Bidding: Limited International Bidding (LIB) is

essentially ICB by direct invitation without open advertisement. It may be an appropriate method of procurement where (a) there are only a limited number of suppliers, or (b) other exceptional reasons (security situation, military operations, natural disasters) may justify departure from full ICB procedures. Under LIB, bids shall be invited from a list of potential suppliers broad enough to assure competitive prices, such list to include all suppliers when there are only a limited number. Domestic preferences are not applicable in the evaluation of bids under LIB. In all respects other than advertisement and preferences, ICB procedures shall apply, including the publication of the Award of Contract.

125. National Competitive Bidding: National Competitive Bidding (NCB) is the competitive bidding procedure normally used for public procurement in the country of the Borrower, and may be the most appropriate way of procuring goods or works which, by their nature or scope, are unlikely to attract foreign competition e.g. (a) the contract values are small, (b) works are scattered geographically or spread over time, (c) works are labor intensive, or (d) the goods or works are available locally at prices below the international market or (e) where the advantages of ICB are clearly outweighed by the administrative or financial burden involved. To be acceptable for use in Bank-financed procurement, these procedures shall be reviewed and modified as necessary to assure economy, efficiency, transparency, and broad consistency with the provisions included the Guidelines.




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126. Shopping: Shopping is a procurement method based on comparing price quotations obtained from several suppliers (in the case of goods) or from several contractors (in the case of civil works), with a minimum of three, to assure competitive prices, and is an appropriate method for procuring readily available off-the-shelf goods or standard specification commodities of small value, or simple civil works of small value.

127. Direct Contracting: Direct contracting is contracting without competition (single source) and may be an appropriate method under the following circumstances:

i. An existing contract for goods or works, awarded in accordance with procedures acceptable to the Bank, may be extended for additional goods or works of a similar nature. The Bank shall be satisfied in such cases that no advantage could be obtained by further competition and that the prices on the extended contract are reasonable. Provisions for such an extension, if considered likely in advance, shall be included in the original contract.

ii. Standardization of equipment or spare parts, to be compatible with existing equipment, may justify additional purchases from the original Supplier. For such purchases to be justified, the original equipment shall be suitable, the number of new items shall generally be less than the existing number, the price shall be reasonable, and the advantages of another make or source of equipment shall have been considered and rejected on grounds acceptable to the Bank.

iii. The required equipment is proprietary and obtainable only from one source.

iv. The Contractor responsible for a process design requires the purchase of critical items from a particular Supplier as a condition of a performance guarantee.

v. In exceptional cases, such as in response to natural disasters. vi. After the contract signature, the award should be published in UNDB

online and in dgMarket the advert shall indicate the name of the contractor, price, duration, and summary scope of the contract. This publication may be done quarterly and in the format of a summarized table covering the previous period.

128. Commercial Procurement Practices: This method shall only be applicable for procurement by the private sector and shall be applied in accordance with IDA




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Guidelines. Commercial Procurement Practices in this case are defined to mean comparison of a minimum of 3 quotations. They will only apply to the Private Sector and specifically be in accordance with the thresholds for this method. Contracts above this threshold shall be procured through ICB.

5.2.1.3 Installation and Commissioning Stage 129. The installation and commissioning of the equipment/goods procured under

the Emergency Operation for Development Project will be the responsibility of the MoE and supervised by the EPMT. The Project will not cover the installation and commissioning (construction) works. However, the EPMT will assess and monitor the construction works of the purchased equipment/goods through a consultant to ensure that the Bank financing for the electricity sector under the Project will contribute to increase reliability and level of electricity supply to the households in the selected seven cities as per Project Development Objective (PDO) and Results Framework.

5.2.2 COMMUNICATION PROCEDURE 130. There are more than two parties involved in the project’s electricity

component as follows:

· The World Bank/ IBRD will finance the Project’s electricity component (purchase of equipment/goods);

· The Electricity Project Management Team (EPMT) will play a role as the sub-client;

· The Consultant (Engineer) will be responsible for supervising and monitoring the installation and commissioning works in accordance with the PDO and Results Framework; and

· The Supplier will supply equipment/goods for installation and commissioning which are the responsibility of the Ministry of Electricity and not covered by the electricity component of the Project.

131. The EPMT will be the focal part of communication between different parties involved in the electricity component while the CC to different parties will be decided during the Kick off and Initiation Meetings of the Project. A data base is to be developed by the EPMT to keep full set of communication file that will hand the archived files to the World Bank, Ministry of Electricity at project close out.




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5.2.3 PROJECT COST AND FINANCE 132. The proposed electricity component’s estimated cost is US$75 million, and

this allocated fund will only finance Sub-components I and II as follows:

· Sub-component 1 (Year 1 of procurement): Procurement of Emergency Equipment and Goods/Materials based on the emergency equipment needs. MoE will procure goods/materials such as substations, transformers, feeders, connectors, wires, cables, metering, etc.

· Sub-component 2 (Years 1 - 5 implementation of the Emergency Investments identified in Year 1): MoE will be financing its costs and contracted firms for the required works to install the purchased equipment and commission the required facilities to supply electricity in the seven municipal areas. The World Bank funding will be only covering the procurement of equipment/goods.

· Sub-component 3 – (Years 1 - 5 of Technical Assistance). The Project TA budget will finance the supervision of the electricity sub-projects implementation.

133. The Government of Iraq has committed to apply the World Bank safeguard policies to the electricity component as a part of Emergency operation development project. The World Bank will monitor the environmental and social management for what are regards to the procurement of electricity equipment/goods and their installation and commissioning during implementation to ensure compliance with the World Bank safeguards policies.




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5.3 COMPONENT 1: RESTORING MUNICIPAL WASTE, WATER AND SANITATION SERVICES

134. Iraq is estimated to produce 31,000 tons of solid waste every day with per capita waste generation exceeding 1.4 kg per person per day. This rapid increase in waste generation is putting tremendous strain on Iraqi waste handling infrastructure which has deteriorated significantly following decades of conflict and mismanagement. In the absence of modern and efficient waste handling and disposal infrastructure, most waste is disposed in unregulated landfills across Iraq, with little or no concern for either human health or the environment. Iraqi landfills are characterized by spontaneous fires, groundwater contamination, surface water pollution and large-scale greenhouse gas emissions. Additionally, the management of rubble and debris resulting from armed conflict and acts of war needs attention as part of the reconstruction efforts. Special attention also needs to be given to contamination by hazardous substances that could result from war-related damages such as petroleum products and a spectrum of chemicals from small industries and storage facilities which could affect soils, rubble/debris, as well as water and groundwater in conflict-affected areas.

135. A National Solid Waste Management Plan (NSWMP) for Iraq was developed in 2007 and contains recommendations to build 33 environmentally engineered landfills with the capacity of 600 million cubic meters serving all of the 18 governorates in Iraq by 2027. In addition to constructing landfills the plan also focuses on the collection and transportation, and on developing systems to maximize recycling and reuse. Broad education measures would complement investments in waste management infrastructure supporting the understanding of and participation in waste management in the identified municipal areas of both communities and individuals. This Project will support quick repairs as well as technical assistance to improve the solid waste management in the Project Area as described below.

136. In Iraq access to improved water supply and sanitation is relatively high, but the quality of service is often low. In 2012, 94 percent of the population had access to safe sanitation. In the same year, 87 percent of the population had access to piped water supply in their houses. The quality of services provided, however, is perceived to be low. Many households experienced regular and lengthy service interruptions in 2012 and beyond due to the lack of maintenance and interruptions in water supply. Apart from the lack of reliable water supply, the water quality provided through the public network is also poor. Further, while almost all households have universal access to sanitation facilities,




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collection of wastewater is not equally developed with only 28 percent of the population having access to a sanitation facility connected to a piped sewerage network. Conflict related damage to water and sanitation services has further adversely impacted service delivery.

137. This Project will finance the restoration of water, wastewater and solid waste services through the repair, reconstruction and rehabilitation of damaged infrastructure in the selected municipalities. Starting in Year 1 of Project implementation, the Project will finance the rapid repair, rehabilitation, and reconstruction of damaged water, wastewater, and solid waste services infrastructure in selected areas (Water and Sanitation Subprojects, such as water intake, transmission lines, treatment plants, pumping stations, storage tanks, distribution networks, house connections, sewers and trunk lines, wastewater treatment plants, storm water drains). It will also finance activities to be implemented during Years 2 - 5 of the Project such as the: (i) carrying out of an additional water and sanitation damage and needs assessment and identification of further Water and Sanitation Subprojects; (ii) preparation of detailed plans and designs for Water and Sanitation Subprojects; and (iii) provision of technical assistance for the supervision and implementation of Water and Sanitation Subprojects.

5.3.1 MILESTONE ACTIVITIES 138. The works will goes into two stages during the life of the project the first

stage for one year duration and the second stage for the 2-5 years, details of each stage will be found hereunder

5.3.1.1 Project Selection Stage 139. In this stage all activities related to assessment damage and environmental and

safeguard impact will be clarified. This stage will require the following sub activities:

• Agreed with the Iraqi government for project selection based on volume of damage in the targeted cities in the both governorates (Salah Al-Din and Diyala), number of displaced citizens, employment opportunities, and improving services ( water supply, Sanitation and solid waste collection).

• Getting a list of asset registry for the equipment in the seven cities from the Ministry.

• Prepare TOR for the consultant to carry out preparation of the BOQs for the water supply and sanitation facilities.




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• preparation of the bidding documents for municipal waste containers and collection trucks/compactors

• Preparation of direct contracting bidding documents for backhoes. • Preparation of ICB- bidding documents for water supply and sewerage

equipment. • Getting WB approval for the TOR and Bidding documents for solid waste

equipment, water supply and sanitation equipment and backhoes. • Preparation of 1 year procurement plan that reflects one year activities for the

water supply, sanitation and solid waste management.

5.3.1.2 Tendering Stage 140. In this stage all sub activities related to the preparation for tendering process

that will be done in following WB procedures and regulation. In this stage the following main sub activities will apply.

• Prepare the TOR for conducting a complete BOQs, drawings and specification for the water supply and sanitation facilities in the seven cities.

• Obtaining WB No. objection for the above TOR. • Evaluation of the consultant proposal and obtaining WB No. objection. • Prepare the TOR for conducting the design work, prepare bill of quantities

(BOQ) and write detailed tender document for Al Dhubaee sewerage treatment plant near Tikrit.

• Announce for consultant to conduct the above work as stated in and according to the TOR.

• Short listed and selection of the Consultant (after WB approval) • Develop by the Consultant full set of the design, BOQs, Drawings and draft

Tender document. • Obtaining the concurrence (no objection) from WB

5.3.1.3 Construction Stage 141. In this stage three major works of different types will be executed. One is

selection of the Consultants that will prepare the Damage assessment, detailed design, bidding documents, supervise, monitor, and site work management, and the second type of work is implementation of works contracts and finally implementation of goods contract.

i. Consultant: Three different types of consultancy services activities needed during the implementation of the project. The below sub activities will be followed according to WB rules and regulation. The total cost estimation for the three hereunder activities will USD 4 million.




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Supervision and monitoring:

• Prepare TOR for conducting the supervision, monitoring and site work management.

• Obtain WB No. objection for the above TOR. • Short listed according to qualification, past performance, • Select one consultant • WB review and concurrence (no objection) • Recruiting the consultant (after WB approval) that will develop the

conduct supervision work and the related services.

Damage assessment and preparation of detailed design, BOQs and tender documents:

• Prepare the TOR for conducting the Damage assessment for the water supply and sanitation facilities in the seven cities and preparation of detailed designs.

• Obtaining WB No. objection for the above TOR. • Short listed according to qualification, past performance. • Evaluation of the consultant proposal, select one consultant and

obtaining WB No. objection.

Preparation of Master Plan for recycling solid waste for Diyala and Salah Adin.

• Prepare the TOR for the consultant to prepare Master plan for the recycling of solid waste for Diyala and Salah Al-Din to improve solid waste management.

• Obtaining WB No. objection for the above TOR. • Short listed according to qualification, past performance. • Evaluation of the consultant proposal, select one consultant and

obtaining WB No. objection.

ii. Contractor- works: The estimated cost for the contracting- works activities is USD 35 million. The below sub activities will be followed during the above indicated period according to WB rules and regulation:

• Announce the advertisement (that is prepared at earlier stage) for international or national biddings

• Evaluate the lowest bid price that, finalize BER and ask for WB concurrence in proceeding.




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• Issue an awarding letter after WB approval • Sign the contract with the winner • Site handing over • Construction the work according to the contract document • Handing over the site • Defect liability period as indicated in the contract document • Final handing over • Closing the project report.

iii. Supplier- Goods: The estimated cost for the contracting- works activities is USD 25 million. The below sub activities will be followed during the above indicated period according to WB rules and regulation.

• Announce the advertisement (that is prepared at earlier stage) for international or national biddings

• Evaluate the lowest bid price that, finalize BER and ask for WB concurrence in proceeding.

• Issue an awarding letter after WB approval • Sign the contract with the winner • Issue advance payment. • Inspect and test the equipment upon arrival to the site • Defect liability period as indicated in the contract document • Closing the project report.

5.3.2 COMMUNICATION PROCEDURE 142. There are more than two parties involved in the project set up that are

• The WB who finance the project • The Project Management Team (PMT) unit that will play as the

project Client • The Consultant (Engineer) who will be responsible for supervising

and monitoring the site work or preparing detailed designs and tender documents, and Master plan of solid waste recycling.

• The Contractor who will supply material and man power for work execution.

• The supplier who will supply of equipment (water, sanitation and solid waste).

143. It is very important to determine the authorization of communication between

all parties involved and also in letter numbering schemes that must indicate the




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flow and direction of correspondence. A data base is developed by the Consultant (Engineer) to keep full set of communication file that will hand the archived files to the WB and the PMT at project close out.

144. The PMT will be the focal part of communication between different parties involved in the project while the CC to different parties will be decided during the Kick off Meeting (KoM) of the Project

145. The numbering scheme that will be followed during the project life cycle is

W: indicates WB P: indicates PMT (Client) E: indicates Consultant (Engineer) C: indicates Contractor S: indicates supplier

146. Then the number started with

WP: means letter from the WB to the PMT CP: means letter from the Contractor to the PMT EP: means letter from the Consultant to the PMT SP: means letter from the supplier to the PMT PW: means letter from the PMT to the WB PC: means letter from PMT to the Contractor PE: means letter from PMT to the Consultant (Engineer) PS: means letter from PMT to the Supplier

5.3.3 PROJECT COST AND FINANCE 147. The Ministry of Municipalities and public works has four major components

with the cost is estimated at US$ 60 million (net of tax and duties). The project mainly consist of rehabilitation of storm water or sewerage networks, pumping station, main trucks, water treatment plan, compact unit, water networks and main pipe lines The work also covers the cost of the related consultancy services for project management activities. There will be also capacities building for the ministry staff.

148. The table no. 1&2 below shows the EODP Program for the three kinds of services (water supply, Sanitation and Solid waste collection services) -




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packaging and cost estimation for ( works & Goods) in Table 1 and consultancy services in Table 2.

Table 1: Packaging and cost estimation for works and goods 1 2 3 4 5 6

Ref. No. Description Estimated

Cost Million

USD

Procurement

Method

Review by

Bank (Prior / Post)

Comments

MMPW/W1

Rehabilitation and maintenance of storm water network & pumping station, and main trunks

5 NCB/ Shopping

Prior/Post

Several Contracts

MMPW/W2

Rehabilitation and maintenance of water network & Treatment Plants, and main pipes

30 NCB/ Shopping

Prior/Post

Several contracts

MMPW/G1

Equipment for Sewerage & Water Supply System

10 NCB/ Shopping

Prior/Post

Several contracts

MMPW/G2

Equipment for Solid Waste Management

15 NCB/ Shopping

Prior/Post

Several contracts

Table 2: Packaging and cost estimation for consultancy services 1 2 3 4 5 6

Ref. No.

Description of Assignment

Estimated

Cost Million

USD

Selection

Method

Review by Bank (Prior / Post)

Comments

MMPW/C1

Damage assessment, preparation of detailed design

1 QCBS Prior

MM Supervision of 2 QCBS Prior Could be




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PW/C2

Construction for both Diyala & Salah Ad-Din

two contracts

MMPW/C3

Master Plan for recycling Solid waste for Diyala & Salah Ad-Din

1 QCBS Prior

149. The Government of Iraq has committed to apply the WB safeguard policies to

the water supply, sanitation and solid waste collection as a part of Emergency operation development project under the proposed projects. The WB will monitor the environmental and social management for what are regards to water supply, sanitation and solid waste collections services during implementation to ensure compliance with WB safeguards policies

5.4 COMPONENT 3: RESTORING TRANSPORT INFRASTRUCTURE AND DEVELOPING A HOUSING RECONSTRUCTION SUBSIDY

150. Transport component adopts an integrated and pragmatic approach through the rapid repairs of damaged roads and bridges during Year 1 of the Project. Years 2 to 5 will concentrate on the implementation of the rehabilitation and reconstruction works for the severely damaged roads segments and bridges.

151. Project Management Team (PMT) established within the Roads and Bridges Directorate (RBD) of the Ministry of Construction and Housing (MOCH) will be responsible for transport component of project implementation. The RBD PMT will be supported by local RBD technical staff from the regional offices. The PMT is already staffed with a number of members having relevant experience and expertise (including engineers, environmental and social safeguards, financial management and procurement specialists). The RBD will not create new capacity for the implementation project, but entrust responsibilities to its own staff.

152. The RBD PMT specialists will (i) oversee the component implementation, in accordance with the World Bank guidelines and procedures, including environmental and social safeguards, (ii) perform the required technical functions, and (iii) serve as the focal points for communication with the World Bank, contractors and consultants.

153. The RBD PMT is tasked with the following:

- planning and implementation of activities pertaining to their jurisdiction; - preparing emergency repair and rehabilitation/reconstruction designs for the

listed roads, bridges and culverts;




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- preparing data for economic analysis of Project roads; - preparing ToRs for engineering supervision services; - day-to-day follow up which includes procurement, financial and safeguards

management, supervision, quality control, reporting and administration of project funds;

- making payments to consultants and state contractors; - ensuring that funds are disbursed according to the World Bank guidelines

and procedures; - Preparing quarterly reports to be submitted to a PCU under the GSCOM.

5.4.1 MILESTONE ACTIVITIES 154. Transport component is designed to disburse rapidly during Year 1 of the

Project through financing of emergency repairs of roads and bridges in order to restore transport services in selected municipalities. During Year 1 of implementation, a detail assessment and design of repair and rehabilitation works will be undertaken and be followed by repair works. New projects in the transport sector may be introduced to the list if triggered by milestones presented below.

5.4.1.1 Project Selection Stage 155. Identification of roads and bridges sub-project has been already completed

during the Project appraisal and the following table presents a list of road sections and bridges selected. The identified road sections, which are on roads connecting population centers, are in very bad condition, while some portions of them are closed for operation due to heavy damage. Overall length of identified road sections is about 420 km. All bridges and culverts presented in the list are closed for operation because of one or several spans were demolished by military activities.

156. Identification and needs assessment also included assessment of damage to the alternate communications used as detours, and this must be taken into account in future activities. It is impossible to leave the damaged infrastructure for a later period for the sake of higher interests on communications with higher priority because it will cause problems with the local population and significantly affect their communication options.




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Table 3: Roads and major culverts included in the project

Roads and major culverts Governorate Road class Length

[km] Mandeely-Naft Khana (on Mandly-Baquba road) Diyala primary,

intercity 20

Imam Ways-Muqdadya-Baqubba Diyala primary, intercity

97

Qarataba-Daly Abbas (on Daly Abbas-Baquba road)

Diyala primary, intercity

49

Al-Shohaney-Mansuoryah (on Mansuoryah-Baquba road)


5

Qarataba-Nareen Diyala primary, intercity

10

Al-Mansuorya-Al-Safra intersection (on Baquba-Qarataba road)


17

Qarataba-Al-Safra intersection (on Baquba-Qarataba Road)


21

Culverts on Qazaanya-Badra-Kut border road Diyala culverts, intercity

0.284

Dujail-Samarra (on Baghdad-Muosel road) Salah Al-Din

primary, intercity

50

Dhuloyah-Samarra (on Baghdad-Muosel road) Salah Al-Din

primary, intercity

40

Tikreet-Abbasyah bridge (on Baghdad-Muosel road)

Salah Al-Din

primary, intercity

45

Samarra-Duor-Alam (on Baghdad-Muosel road) Salah Al-Din

primary, intercity

50

Balad street-Sayed Muhammed intersection (on Baghdad-Muosel road)

Salah Al-Din

primary, intercity

10

Two concrete culverts at section Dujail-Sammarra (on Baghdad-Muosel road)

Salah Al-Din

culverts, intercity

0.070




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Table 4: Bridges included in the Project

Bridges Governorate

Structure type

Length [m]

Awsaaj bridge (on Khanaqeen-Jalwla road) Diyala bridge, intercity

33

Old Haronyah Bridge Diyala bridge, intercity

30

New Haronyah Bridge Diyala bridge, intercity

40

Arab Juman (on Baladroz-Karkosh road) Diyala bridge, intercity

135

Imam Ways (7) bridge (on Baquba-Khanaqeen road)

Diyala bridge, intercity

75

Imam Ways (4) bridge (on Baquba-Khanaqeen road)


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Bridge on km 10+200 (on Kanaan-Baghdad road) Diyala bridge, intercity

20

Bridge on km 0+300 (on Kanaan-Baghdad road) Diyala bridge, intercity

20

Al-Suodoor bridge over Tigres river (toward Baghdad-Baquba road)


336

Steel bridge at Nareen river (on Qarataba-Omarmandan road)


85

Concrete bridge at Nareen river (on Qarataba-Omarmandan road)


144

Diyala river bridge (on Jalawla-Kalar-Sulaymanya road)


330

Sheesheen bridge (on Baghdad-Ramady road) Salah Al-Din

bridge, inner-city

112

Tikreet bridge (on Tikreet-Alam road) Salah Al-Din

bridge, inner-city

725

Big Al-Dhuoloyah bridge (on Baghdad-Tikreet road)

Salah Al-Din

bridge, inner-city

33

Small Al-Dhuoloyah bridge (on Baghdad-Tikreet road)

Salah Al-Din

bridge, inner-city

231




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Bridges Governorate

Structure type

Length [m]

Sammarra diversion bridge (on Baghdad-Muosel road)

Salah Al-Din

bridge, intercity

1,250

Al-Sarka bridge at Sammarra-Faluja intersection (on Baghdad-Muosel road)

Salah Al-Din

bridge, intercity

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157. Field studies/detail assessment and preparation of designs for all bridges and roads will be completed by the end of first quarter of 2016 (Milestone 1).

5.4.1.2 Tendering Stage 158. The quick implementation of key roads and bridges repairs will be carried out

by the State Owned Enterprises (SOEs) especially in areas where private sector contractors cannot access due to the security restrictions. Therefore, the bidding will be limited to the qualified SOEs only. Several of the State Owned Enterprises (SOEs) were identified and already assessed on their technical and managerial capacity to handle the works needed under the Project. From a technical perspective, these SOEs have the technical capacity to implement projects as demonstrated by their implementation experience of the past five years. It is important for them to have governmental support to releasing them from some of their current inactive contractual commitments, and ensuring that invoices for contracts awarded under this Project are paid on timely basis. While SOEs have expressed their readiness to perform the activities under this Project, close monitoring will be required to ensure their doing so timely and diligently.

159. Otherwise, open bidding will be extended to include private sector participation in the rehabilitation and reconstruction works during Years 2 to 5.

160. All procurement of works shall be completed by April 2016 for bridges and by June 2016 for roads (Milestone 2). To the extent possible, the RBD PMT will try to limit the number of contractors because of the complexity of managing several smaller projects at the same time, and to achieve economies of scale through a reduced number of contracts.

5.4.1.3 Construction Stage 161. The bridge repair strategy is: (i) for spans longer than 30 meters girders will

be produced from steel, while the remaining elements will be concrete (a




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composite structure), and (ii) girders for smaller spans will be concrete. In total there will be 4 composite bridges and one fully steel bridge.

162. Preferred approach to road repairs and rehabilitation would be to complete all emergency repairs and open the selected roads to traffic, and then proceed with rehabilitation works. Considering the lengthy road sections and scattered locations, the optional approach is to perform sub-sectioning of identified road sections to lengths of approximately 10-15 km and perform full repair and rehabilitation per sub-section.

163. Foreseen commencement for the emergency repair works, depending on the level of damage and operational status impacting accessibility between cities, is between December 2015 and June 2016 (Milestone 3). Repairs for the most of bridges are foreseen for December 2015, while repairs of major structures will commence in April 2016 (Milestone 4). All construction activities shall be completed by October 2017 for bridges and by June 2018 for roads (Milestone 5).

164. In case the first preferred approach to road repairs and rehabilitation is adopted, activities on roads rehabilitation shall commence only after successful completion of emergency repairs on the respective sections.

165. RBD PMT will propose new projects in the transport sector only when all constructions works for sub-projects with foreseen commencement in December 2015 are completed (Trigger 1).

5.4.2 COMMUNICATION PROCEDURE 166. A two-way communication will be established to ensure that communities’

voice is enhanced and channeled through beneficiary feedback mechanisms to ensure that their concerns and queries are addressed in a timely manner. Outreach activities will also allow transmission of clear and consistent messages to support the effective implementation of the Project by informing, guiding, proactively managing beneficiaries and communities expectations, promoting understanding and buy-into the process, as well as generating and sustaining broad stakeholders’ interests and ownership of the re-building process.

167. RBD PMT will use targeted media, social media and communications campaigns to disseminate information about the Project, and serve as the focal point for communication on transport component. Communication activities will inform direct beneficiaries, families and community members on the project overall, including the overall objective and project benefits.




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168. As per the World Bank requirements, if any individual/household from the targeted communities is affected by the Project, there should be a clear system and procedure put in place, by which affected individuals/communities can lodge grievances and the response procedure to these grievances. The primary purpose of the project grievance redress mechanism is to provide clear and accountable means for affected persons to raise complaints and seek remedies when they believe they have been harmed by the project. RBD PMT will register and address grievances and complaints from project-affected people. If the problem is not resolved at the RBD PMT level, the grievance note should be transferred to the PCU.

PROJECT COST AND TIMELINE 169. The estimated cost of sub-projects and foreseen delivery schedule. The total

cost is estimated at US$ 140 million (net of taxes and duties). The estimate includes repair and rehabilitation works.

170. During the implementation of the Project, RBD PMT will deliver required progress reports, documentation and data for the system operated by the PCU which will include semi-annual reports that track project progress at three main levels: (i) basic progress over time in relation to the achievement of scheduled activities and outputs; (ii) income and expenditure against budget allocations; and (iii) project impact in relation to the agreed results, indicators and targets as specified in the project Results Framework.

171. For its internal procedures, RBD PMT will also document project activities, as follows:

- specific computer files, saving all project e-mails; - design documents; - monthly field reports from its project managers; - minutes of all programmed project meetings; - monthly construction reports from the contractors; - as-build drawings, including all construction logs, quality assurance

certificates, etc.; - reports from commissioned consultants, according to their ToRs. - Quarterly Progress Reports - Updated Procurement Plan - Annual Financial Audit Reports - Technical Audit Reports - GPN, SPN, evaluation and selection procedures for Consultants, Contractors

and suppliers.




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- Baseline data, M&E reports - Quality Assurance and Quality Control Reports. - Missions AM - TPMA reports

5.5 COMPONENT 4: RESTORING HEALTH SERVICES

172. The Health component adopts a two pronged approach aimed at addressing the immediate and longer term needs of the health sector. In Year 1, the project will respond to the most urgent health needs by providing rapid access to health services through the financing of three (3) mobile hospitals, fourteen (14) mobile primary health care unites, and thirty nine (39) ambulances. Year 2 will focus on assessing and planning for mid to long-term rehabilitation master plan of the health sector.

173. The Ministry of Health (MoH) will be responsible for the overall health component coordination and management. A Project Management Team (PMT) is established within the MoH, staffed with a PMT director, procurement specialist, accountant, and legal specialist. The PMT specialists will (i) oversee component implementation in accordance with World Bank guidelines, including environmental and social safeguards, (ii) perform the required technical functions, and (iii) serve as the focal points for communication with the World Bank, contractors and consultants. The PMT will also be responsible for assigning committees for bid opening and bid evaluation.

174. Specifically, the PMT has the following implementation responsibilities:

• planning execution, and oversight of the project, • undertaking financial management of project funds and ensuring that funds

are disbursed according to the World Bank guidelines and procedures • monitoring and reporting on project activities and outcomes; • procurement planning and management; set specifications, prepare and

implement bidding procedures, form bidding and evaluation committees • making payments to consultants and contractors • preparing and submitting quarterly reports • securing necessary data for the damage needs assessment

175. PMT staff will be appointed by the Recipient (salaries financed by the Government budget) and additional personnel, if needed would be financed by the project. The PMT will be supported by technical staff from the World Bank headquarters and regional offices.




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5.5.1 MILESTONE ACTIVITIES 176. The Health component is designed to disburse rapidly during Year 1 of the

Project through financing of mobile facilities to ensure urgent access to health services in selected municipalities. More specifically, the project will conduct the bidding and procurement process for three (3) mobile hospitals, fourteen (14) mobile clinics, and twenty nine (39) ambulances (Milestone 1).

177. During Year 2 of implementation, a detail assessment of damages in the health sector will be conducted (Milestone 2) followed by a planning phase where a mid to long-term master plan for the health sector will be developed (Milestone 3).

5.5.1.1 Project Selection Stage 178. The project aims to provide the internally displaced population (IDP) in the

governorates of Diyala and Salah Al-Din with rapid access to the health services. As such, the MoH will distribute the mobile clinics and hospitals in areas with highest concentration of the population taking into consideration travel distance and level of destruction in the area. Tables 1 and 2 presents MoH proposed distribution of the mobile facilities.

Table 5: Distribution of Mobile Clinics by Governorate and in the Project

Mobile Clinics

Governorate Location: City/Town Distance from

Hospital Clinic 1 Diyala Clinic 2 Diyala Clinic 3 Diyala Clinic 4 Diyala Clinic 5 Diyala Clinic 6 Diyala Clinic 7 Salah Al-

Din

Clinic 8 Salah Al-Din






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Mobile Clinics

Governorate Location: City/Town Distance from

Hospital Clinic 11 Salah Al-

Din




Table 6: Distribution of Hospitals

Hospitals Governorate Location: City/Town Hospital 1 Diyala Hospital 2 Salah Al-Din Hospital 3 Salah Al-Din

5.5.1.2 Tendering Stage 179. To expedite the procurement process, the MoH will engage in thorough

discussions with the World Bank to explore and identify bidding and procurement methods that ensure flexibility, speed, and simplicity for procurement in these emergency situations.

180. In the case of mobile clinics and ambulances, technical specifications, based on prior MOH procurement of similar units, have been prepared as well as bidding documents. As such, direct contracting could be considered along with ICB provided the MoH supplies the World Bank with the bidding documents and enough information for proper evaluation of the process. Should the specifications meet MOH needs, the MoH may proceed with direct contracting.

181. All procurement documents for mobile clinics and ambulances should be completed by October 2015 and procurement process by January 2016. Mobile hospital procurement will require the development of technical specifications as well as bidding documents and agreement on the procurement methods. Due to the lengthier process for mobile hospitals, all procurement steps shall be completed by October 2016.




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182. The Damage Needs Assessment (DNA) will implemented in Year 2 of the project and will include an assessment of damages,

5.5.2 COMMUNICATION PROCEDURE 183. MoH PMT will use targeted media, social media and communications

campaigns to disseminate information about the health services provided, location of mobile hospitals and clinics, and serves as the focal point for communication on health component especially in terms of ensuring coordination between the clinics and hospitals. Communication activities will inform direct beneficiaries, families and community members on the project overall, including the overall objective and project benefits.

184. As per the World Bank requirements, if any individual/household from the targeted communities is affected by the Project, there should be a clear system and procedure put in place, by which affected individuals/communities can lodge grievances and the response procedure to these grievances. The primary purpose of the project grievance redress mechanism is to provide clear and accountable means for affected persons to raise complaints and seek remedies when they believe they have been harmed by the project. MoH PMT will register and address grievances and complaints from project-affected people. If the problem is not resolved at the RBD PMT level, the grievance note should be transferred to the MoH.

5.5.3 PROJECT COST AND TIMELINE 185. The estimated cost of the Health component of the project. The total cost is

estimated at US$ 42 million. The estimates include medical equipment and orientation training for the use of the mobile facilities.

5.5.4 GOVERNING DOCUMENT OF THE PROJECT 186. Below is the list of documents governing the EOD project:

i. Reconstruction Fund for Areas Affected by Terroristic Operations established and operating pursuant to Article 28 of the General Federal Budget Law for Fiscal Year 2015, Law No. 2 of 2015 of the laws of Iraq.

ii. EOD Project Appraisal Document (PAD) developed by WB Report number 1485 issued June 23, 2015.

iii. This Project Implementation Manual (PIM) which basically covers operational concepts. This PIM will be shared with all stakeholders for better




73

understanding by them of the project procedures and strategy. This manual attends to tackle the following objectives:

• To establish uniformity, accountability, and financial procedures to ensure transparency during project functioning;

• To facilitate the work of the PCU and PMTs staff; and • To rationalize system and procedures.

iv. The Environmental and Social Action Plan (ESAP), Resettlement Policy

Framework (RPF), and draft Environmental and Social Impact Assessment Framework (ESIAF) and prepared for this project dated June 25, 2015 and September 2015, respectively shall provide the guidance of PMT staff in assessing EODP related to environmental and social risk and impact on both beneficial and adverse conditions. Also the document will lead the staff to take the necessary mitigation measures and evaluate them. The documents also provide the basis for ensuring compliance with the WB Social and Environmental Policies and the relevant Iraqi regulations to assist the project staff in proper implementation of EODP. The ESIAF includes communication procedures with stakeholders and agreement with local authorities

v. Procurement will be carried out in accordance with the ‘Guidelines On Preventing and Combating Fraud and Corruption in Projects Financed by IBRD Loans and IDA Credits and Grants’ dated October 15, 2006 and revised in January 2011, and the “Guidelines: Procurement of Goods, Works, and Non-Consulting Services under IBRD Loans and IDA Credits and Grants by World Bank Borrowers” dated January 2011 and revised in July 2014, and “Guidelines: Selection and Employment of Consultants under IBRD Loans and IDA Credits and Grants by World Bank Borrowers” dated January 2011 and revised in July 2014.




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5.6 COMPONENT 5: TECHNICAL ASSISTANCE

187. This Project, through this component, will constitute a platform for the identification and [partial] preparation of a range of potential sector investment projects which would be based on a continuous strategic, medium- to long-term needs assessment carried out by the Bank and the Iraqi government over the Project implementation period. This needs assessment would go well beyond the Project’s lifetime and the scope of emergency reconstruction and restoration, and identify opportunities to build on the momentum, delivery mechanisms and implementation arrangements set up under the Project. Likely sectors for medium to long term development approaches could include transport (both urban and inter-urban including railways) led by the MoCHPM (for housing, roads and bridges, water and waste management) and health (MoH).

5.6.1 SECTORAL DEVELOPMENT 188. The EODP will finance the following support to sectoral components on a

demand driven basis, within four broad topics.

· The first would be the development of: (i) urban development and strategic investment master plans for selected municipalities based on intensive public consultation and awareness programs; (ii) integrated solid waste management plans and designs; (iii) railway infrastructure rehabilitation and safety improvements plans and designs; (iv) cross-governorate expressway corridors plans and designs; and (v) a pilot for the planning and design of infrastructure development at the governorate level.

· The second would fall under the theme of state/citizen trust-building and promoting reconciliation in the broader Project context, with likely topics being: (i) inclusive participation by local communities, (ii) transparency of resource allocation, (iii) enacting measures to promote tolerance through community-led Projects across different social groups, (iv) using targeted media, social media and communications campaigns to disseminate information about the Project, and promote trust and solidarity, and (v) addressing local grievances through an effective redress mechanism and developing greater social accountability in service provision.

· The third would relate to a broader strategy for the sustainable management of physical cultural resources. This activity will include a systematic and detailed damage assessment of damaged Physical Cultural Resources (PCR), a prioritized list of required interventions, development of a reconstruction and




75

restoration strategy (including related standards, guidelines, knowledge and technical resources, and design codes), and design and preparation for the establishment of a fund to support the management of PCR.

· The fourth would entail the carrying out of a health sector needs assessment and development of mid- to long-term health care services master plan.

5.7 COMPONENT 6: PROJECT MANAGEMENT, SENSITIZATION, MONITORING, EVALUATION

5.7.1 MONITORING AND EVALUATION PLAN 1. The purpose of coherent and comprehensive M&E of the project is to ensure that the all of the Projects components have a complete and systematic account of the performance and results of the operation. The M&E framework should accurately and clearly ccapture and disseminate experience from the design and implementation of an operation in order to:

(a) Identify the factors affecting the implementation of the operation; (b) Improve the design and implementation of future interventions through

lessons learned, and (c) Help ensure greater development impact and sustainability of the project

components.

2. M&E will have the following objectives: (i) improve respective sectoral project management; (ii) ensure transparency in data sharing of the project with various project participants; (iii) ensure efficiency of activities; (iv) provide accurate and timely information to adjust or modify activities in relation to the evolution of the context during implementation; and (v) provide accurate and timely information to help both the PCU and various PMTs make informed decisions.

5.7.1.1 Result Framework and Monitoring Arrangements 3. Results-based M&E will follow a methodology for measuring and monitoring results, as well as for review. A results framework and monitoring matrix to track inputs, outputs, and outcomes has been developed for the project with intermediate and key performance indicators (see PAD). Broad thematic areas that will be supervised and monitored include the following: (i) Social and Environmental Monitoring, (ii) Regular Quality Supervision and Certification, (iii) Periodic Physical Progress Monitoring and Third Party Quality Audit, and (iv) Monitoring and Evaluation. Safeguards management will be monitored with the help of Third Party Quality Audit Consultants, who will have expertise in




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monitoring social and environment safeguards management. The details of safeguards implementation and monitoring will be detailed in the ESMF.

189. Project implementation progress will be monitored continuously, and outputs and outcomes will be reviewed during project supervision to evaluate progress using data compiled by PCU. M&E will measure individual project performance according to results framework targets and provide quarterly activity reports, targeting both the management of contractors as well as external stakeholders.

190. The multi-tier implementation arrangements under the Project include supervision and monitoring roles and responsibilities of each implementing unit. Supervision will generally entail routine quality certification at various stages of construction, forming the basis of payment certification and other works. Project implementation progress will be monitored continuously and outputs and outcomes reviewed during project supervision to evaluate progress using data compiled by the PMT teams and fed into the PCU M&E specialist. Monitoring will occur as a periodic function, and will include process reviews/audits, reporting of outputs, and maintaining progressive records. Tracking of indicators will include, whenever possible, disaggregate figures for vulnerable groups (IDPs, ethnic minorities, widows, children, elderly, disabled, etc.).

5.7.1.2 M&E Indicator Reporting 191. Annually, through ministry reports, procurement, construction and consultants

reports, project monitoring reports, the MIS data base and surveys the M&E team would need to report on the following:

· Direct project beneficiaries female beneficiaries · Sub-projects with a satisfactory outcome · Number of people in urban areas provided with access to improved water

sources under the project · Number of people in urban areas provided with access to improved

sanitation under the project · Number of people in urban areas provided with access to regular solid waste

collection under the project · Number of people in urban areas provided with access to electricity under

the project by household connections · Number of people in urban areas provided with access to all-season roads

within a 500 meter range under the project




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· Number of people receiving primary health services through mobile primary health units supported by the project

192. On a quarterly basis the M&E team will report on the following:

• Grievances registered related to delivery of project benefits addressed (%) • Grievances related to delivery of project benefits that are addressed-

(number) • Beneficiaries that feel project investments reflected their needs (percentage) • Beneficiaries that feel project investments reflected their needs - male

(number) • Beneficiaries that feel project investments reflected their needs - female

(number) • Total beneficiaries - female (number) • Total beneficiaries - male (number) • Household sewer reconnections rehabilitated under the project • Piped household water reconnections that are benefiting from rehabilitation

works undertaken by the project • Distribution lines reconstructed or rehabilitated under the project • Transmission lines reconstructed or rehabilitated under the project • Roads rehabilitated, Non-rural • Bridges rehabilitated • Health facilities constructed, renovated, and/or equipped • Ambulances purchased and/or equipped

5.7.1.3 Studies 193. Through a combination of desk-top, quantitative and qualitative methods

should be utilized and it is expected that main data sources will include, but will not be limited, to:

· Review results from any previous similar studies in Iraq. · Review existing documents, including program document,

implementation manuals, progress reports, consultant databases, implementation support mission reports - AMs, and previous studies and evaluations.

· Identify and interview beneficiaries, key informants, implementation contractor staff, business people (local and national), project staff and other program stakeholders.

194. The M&E team will be responsible for the following outputs:

· Baseline survey, including specific modalities for C&S and CE strategies.




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· Monthly collection and quarterly collation of data and information on project activities.

· Annual beneficiary surveys. · Mid-term and End-term surveys – can be combined with annual

beneficiary surveys. · Implementation Completion and Results report.

5.7.1.4 Management Information System 195. The M&E will create a dedicated Management Information System (MIS)

designed to collect and collate information from and on beneficiaries needs to implement:

• monitor each Emergency Project, • follow the implementing partners providing reintegration support, and • monitor financial management.

196. The MIS would also serve as the information backbone where administrative, procurement and financial information is stored in a manner that allows relevant staff an interactive association with it. The architecture of the MIS will be designed to ensure that that all components of the management system are operating in accordance to the requirements with the Program.

197. The various regional offices and the center will be connected to the MIS via a wireless connection (GPRS) and data will be transmitted on a daily basis. The data will be centralized in the Region and synchronized at each office to minimize any possible duplication.

5.7.2 COMMUNICATION AND SENSITIZATION PLAN 198. The overall goal of the C&S strategy is to provide communication support to

all groups and actors involved, as well as the beneficiaries in the implementation of the Project. The C&S is intended to provide for appropriate visibility of the Projects activities and messages and/or calls for action aiming at implementation, but also catalyzing beneficiaries into engaging with the downstream project components. The key objective of the C&S plan is to enable the PCU to engage with various stakeholders, in addition to direct beneficiaries, to promote their understanding, buy-in and ownership of the project.

199. The communication strategy will be designed and implemented as a two-way stream that allows the channeling of communities’ voices through beneficiary assessment and feedback mechanisms to ensure that their concerns and queries are addressed in a timely manner. The communication strategy will aim at




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managing beneficiaries’ expectations with regards to the overall project and specifically to the housing component. Consistent and clear messages to target audiences will be key in proactively managing beneficiaries’ expectations and promote their ownership.

200. The specific objectives of the C&S are the following: · To identify appropriate target audiences for the C&S and to define specific

communication objectives for each of these groups. · To identify, develop and sustain effective channels of communication, both

internal and external, which will serve the exchange of information among all key stakeholders and enhance the coordination mechanism ensuring that the overall communication and visibility goal is successfully reached.

· To develop and ensure consistent and timely delivery of communication outputs for reaching the specific target groups.

· To develop a comprehensive C&S Plan, as well as work plans on a yearly basis, for all the Projects activities based on the above objectives ensuring the effective communication during and beyond the lifetime of the programme.

· To put in place effective monitoring and reviewing arrangements for the implementation of the CS and the Communication Work Plan.

· To support/facilitate the replication component of the Projects – both across the existing municipalities and potentially new municipalities and its corresponding activities.

201. The project’s components and activities will span several sectors:

transmission and distribution of electricity, solid waste collection, water sanitation, roads and bridges, housing, health, conflict prevention and post-conflict reconstruction, participation/civic engagement, and social inclusion.

202. There will be both an internal and external C&S strategy. Purpose the internal C&S strategy (IC&S) responds to the need for effective communication within the structure of the Project ensuring the adequate flow of information among and between the PMTs, the PCU, implementing agents and stakeholders. It is crucial for all management structures and partners to understand that the key element for the success of the C&S activities is the collective, collaborative and timely effort on the part of everyone involved.

203. The specific objectives of the ICS are the following: - · To ensure the exchange of appropriate information among and between

the partners and the PCU that will facilitate the overall C&S.




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· To communicate in a brief and easy‐to‐read way the progress, challenges and lessons learned of the Project.

· To address the imperative need for coordination among and between the PCU and PMTs in order to improve efficiency and synergies and avoid duplication in terms of communication.

204. The main channels of the internal communication will be e‐mail exchange, telephone calls, face‐to‐face meetings, telephone or video conferences, as well as a collaborative portal that would be under the remit of the PCU C&S specialist. The PCU C&S specialist will issue a set of guidelines will be developed to assist partners on how to use and on what to upload on the collaboration portal.

The purpose of the external C&S strategy (ECS) is aimed solely at informing, including collaboration and gaining support from beneficiaries and CSOs and NGOs. A successful ECS is of utmost importance for motivating, mobilizing, inspiring and hopefully engaging all relevant stakeholders and levels of governance whose support is required for the effective implementation of the Projects activities. It should be noted that the ECS activities are closely linked with the implementation of the CE strategy, being mutually supportive and complementary in terms of resources, outreach and outputs. The specific objectives of the ECS will be the following:

· To effectively communicate the Project and its corresponding activities, contributing to the successful achievement of its overall and specific goals and objectives;

· Through beneficiary feedback and participation to influence decision making at administrative and policy level with the objective of enhancing and strengthening delivery mechanisms;

· To mobilize the maximum number of relevant target groups and promote the exchange of knowledge and expertise;

· To develop a set of actions within the C&S Plan promoting the messages, activities and achievements of the Project to all relevant target groups and the wider public contributing to an enabling environment for the achievement of the overarching goal of the Project, through consensus building;

205. The main channels for the ECS and visibility include e‐mails and press

releases, presentation material (leaflets, TV spots‐ depending on availability of means) various media channels (radio, TV, newspapers, journals, websites,




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blogs), information materials (in both soft and hard formats), publications (e.g. articles in scientific journals), educational kits, events such as conferences, seminars or press conferences and a website. The outputs that will be developed to serve the external communication component, include:

· Portal/website: A high‐quality, user‐friendly internet portal aiming to disseminate the Projects progress and lessons learned has been. The website will be in Arabic and English. The Portal will be administered by the PCU C&S specialist who will be responsible for providing information on time (on a quarterly basis) and in accordance to specific guidelines, (to be developed by a consultancy).

· Information/communication materials will be developed in both soft and hard formats (kits, leaflets, brochures, etc.) targeted to selected audiences and they will be disseminated through different channels of communication. In order to ensure the wide dissemination of these materials a comprehensive database of contacts will be developed.

· Press releases and press conferences will take place on the occasion of important Project milestones and related municipal events. Participation/representation in events of relevance in selected national/regional events, conferences, meetings, etc.

· Planning of an “ad hoc” audiovisual campaign for wide media dissemination, targeting beneficiaries who might be literacy challenged.

206. Due to the complexity and heterogeneity of each component activities in this Project, the key messages will be tailor‐made according to various target groups so as to be used in the C&S materials and activities. These messages will be developed by the C&S consultancy and will be included in a C&S toolkit. The key messages will possibly be divided into the overarching message, to be used in general communication, and the specific messages that will be used to communicate individual components and sub‐components activities and possibly varied by municipality. It will be essential however, to ensure a harmonized recognition of and familiarity with the Project activities across PMTs and implementing partners, in order to ensure that a common overall identity referencing the project is created and maintained. A set of detailed guidelines and support material will be developed and by the C&S consultants and will be uploaded on the collaboration portal.

207. In particular, and given the importance of housing in the post-conflict context of Iraq, housing repair and reconstruction is expected to become one of the core




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activities of the Bank’s response. It is, however, a highly political process because of the extent and scale of the resources involved and the impact on people’s lives. This political dimension is especially acute as communities have been forcibly displaced as a result of the conflict. As such, great care will need to be taken over issues such as inclusivity (no one left behind), equity (consistent and common standards applied) and beneficiary selection (transparent targeting mechanisms and eligibility criteria in place) as well as beneficiaries’ feedback and analysis of grievances to inform the messaging and refine the audience targeting.

208. The project will also provide analytical and advisory services to sectoral components on a demand driven basis with likely two broad topics. The first would fall under the theme of state/citizen trust-building and promoting reconciliation in the wider project context, with likely topics being: (i) inclusive participation by local communities (ii) transparency of resource allocation, (iii) enacting measures to promote tolerance through community-led projects across different social groups, (iv) using targeted media, social media and communications campaigns to disseminate information about the project, and promote trust and solidarity, and (v) addressing local grievances through an effective redress mechanism.

209. The C&S strategy will be implemented over the five year timeframe of the Project, with individual annual work-plans drafted to execute the various activities, in harmony with the CE strategy and in collaboration with the M&E strategy. The successful implementation of the strategy will require the involvement of PCU C&S, PMT C&S focal points, external consultancy and the World Bank support team.

210. A rapid stakeholder’s analysis should be the building block for the communication strategy, with information on target audiences and the beneficiaries preferred communication channels and tools. Communication activities will: (i) emphasize general reconciliation and peace-building messages to build up trust in public policies and emphasize the non-bias nature of the reconstruction of damaged infrastructure and reinstatement of basic public and municipal services delivery process; and (ii) inform direct beneficiaries, families and community members about the project, including the overall objective and project benefits. A systematic analysis of impact and feedback should be conducted on a regular basis to help refine messages, communication activities and improve targeting as well as the use of appropriate communication channels (TV, radio, brochures etc.).




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211. The communications consultant/firm will be selected that will report to the PCU C&S specialist. The consultant/firm will coordinate closely with the PCU and PMT focal points, as well as with communication teams/departments in various other implementing agencies. The consultant/firm will conduct the stakeholders’ mapping and audience analysis as a first step and present/validate the findings with PCU and then formulate the communication strategy that will include feedback and will be articulated into specific Communication Action Plans to be updated regularly.

212. The communication consultant/firm will be responsible for conducting a stakeholder’s mapping and audience analysis, developing the appropriate communication messages for each of these interventions and determining the appropriate tools and communication channels depending on the beneficiary audience and stage of implementation.

213. The communications consultant will work closely with the Reconstruction Fund (PCU) to:

· Undertake a stakeholder mapping and audience analysis to determine the most appropriate communication channels to use with various audience groups and determine appropriate messaging streams.

· Plan, organize and roll-out consultation sessions with various stakeholder groups to assess pre-project perceptions, views and expectations from the project. A particular attention to gender balance is required in the roll-out of the consultations, namely in light of the sizable proportion of women out of the total population on the project areas. Gender-responsive measures will also be reflected in the design and evaluation of the project, such as sex-disaggregated surveys and gender focus groups.

· Develop a C&S strategy to support the implementation of the project (identification of key stakeholders, messages, channels and tools).

· Develop annual C&S action plans to be updated annually given the fluid context and based on the analysis of the grievances and the results of the consultations

· Develop and action plan to support the PCU in the implementation of the C&S strategy - both ICS and ECS. This is to also include an online and mobile based communication action plan

· Assist with the baseline training and on-going mentoring of the PCU C&S specialist and PMT focal points with communication teams/departments in various other implementing agencies.




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· Assist the PCU in organizing and conducting a series of regular information sharing meetings, public hearings, consultations, training courses, media briefings, press conferences, radio and TV spots.

· Assist the PCU in the drafting and dissemination of press releases, FAQs, talking points, speeches, fact sheets, brochures…

· Develop and deliver a program of structured and ongoing communications capacity building training for the PCU namely in media relationship management, website management, social media management.

· Ensure close monitoring of the media coverage of the project related sectors and activities and provide monthly updates to the PCU on the public understanding and perceptions regarding implementation.

· Contribute to the elaboration of the project grievance redress mechanism and develop the appropriate communication messages, tools and channels to promote it and evaluate its effectiveness in conveying beneficiary feedback and bringing complaints to closure.

· Monitor and measure communication impact and provide feedback on refining messages and improving targeting through the appropriate channels based on audience analysis as well as online communication metrics.

5.7.3 COMMUNITY ENGAGEMENT STRATEGY 214. The selection of the seven urban agglomerations where the project will be

implemented was made against a complex political background. This will be done under the absence of a political reconciliation process and uncertainty about inclusiveness and participatory reconstruction mechanisms, the risk of renewed conflict, and a lack of a comprehensive reconstruction project funded by GoI. The government’s recovery strategy is to jumpstart the delivery of basic infrastructure and services and rehabilitate critical infrastructure in the areas liberated from the insurgency. This would be one of the first steps in ensuring trust-building and reconciliation associated with the return of state officials. Significant social tensions may exist among resident populations that have been exposed to the civil unrest and violence, and a return of the state following prolonged absence could risk exacerbating these tensions unless accompanied by participatory processes that can increase accountability.

215. The CE strategy will be designed and implemented as a program whose aim is to leverage the potential of citizen engagement as a means to improve the delivery and quality of infrastructure and public services being delivered, while holding service providers accountable for their performance. Given the emergency nature of the Project beneficiaries will not have had a direct role in




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making decisions about projects affecting them, a citizen’s engagement strategy incorporating a combination of consultations, public hearings, advisory body/committees, household surveys and focus group discussions, electronic consultations through ICT and social media and project-level mechanisms to receive comments and suggestions from stakeholders are important to ensure that their concerns are taken into account while decisions are made.

216. Citizen Engagement is an integral component of the project implementation to promote an inclusive approach in the reconstruction process. The four dimensions of the CE are:

· Inform - Providing citizens with balanced and objective information to assist them in understanding the problems, alternatives, opportunities, solutions

· Consult – Obtaining citizen feedback on analyses, alternatives, decisions · Collaborate – Partnering with citizens in parts of all of the decision-

making · Empower – Final decision-making in the hands of citizens

217. From the outset, the CE strategy will distinguish between target beneficiaries and ultimate beneficiaries. The corporate definition of beneficiaries is comprised of: beneficiaries who are directly targeted by the project and those who are intended to benefit from project interventions. ‘Target’ beneficiaries will comprise of a subset of citizens engaged in project activities to produce outputs, and may include ‘enablers’ (e.g. public officials, service providers etc.), ultimate beneficiaries (e.g. community members) or both. ‘Ultimate’ beneficiaries of project development outcome(s) would be both those who are either adversely impacted by the project’s activities, or for whom project activities are intended to bring benefits or changes, These benefits could materialize during and/or after implementation of the activities, depending on the project’s context and objectives. Ultimate beneficiaries may or may not be engaged in project activities. The CE strategy will be designed to reach out to both

218. The CE strategy will aim to:

· Create an upstream awareness raising campaign mobilized to explain the project, its objectives, its ambition and its limits, signaling the intent of the State to expand its presence and reestablish trust and legitimacy with citizens as well as manage expectations;

· Improve both policy and delivery mechanisms by drawing on the vast and diverse experiential knowledge of the public (usually in combination




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with other forms of knowledge) and legitimizing decisions by taking citizen’s values are taken into account.

· Overcome polarization, reducing conflict, looking for common ground: Through a well-structured process of dialogue and deliberation, parties who disagree may come to understand why the others hold the position they do, enabling compromise to be more easily attained. Through citizen engagement processes, relationships of trust are built.

· Ensure a strong inclusive interaction with citizens, sensitizing them to the benefits they will be receiving as well as providing the means to monitor the fairness and the transparency of the rebuilding process. It is intended that such an initiative will strengthen beneficiary feedback mechanisms such as the establishment of a grievance redress mechanism and giving effective voice to citizens’ concerns and queries. The citizen engagement strategy which will ensure that all ethnic groups, either as individuals or collectives (the latter through civil society or any formal or informal group), are targeted for inclusion and involvement in the project

· Guarantee inclusiveness of minorities: Essential if the process is to ensure that all participate and all benefit equally.

· Build competent, responsible and engaged citizens: Through citizen engagement processes, citizens can acquire skills, such as active listening, empathy, problem solving, and creative thinking that can be put to good use in their personal and community lives. Giving citizens a greater sense of political efficacy, and potentially increase their confidence in political practices and structures.

219. In tandem with the communications strategy the CE strategy will facilitate raising awareness through the transmission of clear and consistent messages, and enhancing communities’ voice and participation through mainstreamed beneficiary feedback mechanisms. Informing, proactively managing expectations of beneficiaries and communities about the project, promoting understanding and buy-into the process, as well as generating and sustaining broad stakeholder interest and ownership, is an important building block for mainstreaming citizen engagement in the overall project.

220. The key elements of the citizen engagement strategy for this Project will include the following:




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· disclosure of important project related information by the GoI through the Reconstruction Fund on its website and at the appropriate local levels and disclosure procedures agreed with the Bank,

· framework for consultation with the key stakeholders ensuring all ethnic groups during planning, design and implementation of all sub-projects;

· from Year 2, ensuring free, prior, informed consultation with the relevant stakeholders and their representatives for obtaining broad community support as a part of preparation of specific sub-projects relevant to that area;

· ensure the establishment and implementation of Grievance Redress Mechanisms (GRM) at PMTs and PCU levels to meet specific grievance redress requirements of this operation; and

· Promoting community based risk reduction initiatives with the participation of and networking with relevant stakeholders including women, school children, youth, civil society organizations, and local bodies.

221. Citizen’s awareness raising is key to mainstreaming citizen engagement mechanisms through the emergency process which will consolidate the sustainability of the project impact. A stakeholder analysis will be initiated at the start of the project as well as the design of a comprehensive awareness raising campaign. The stakeholders’ analysis will also identify the appropriate communication channels and inform the fine tuning of beneficiary feedback mechanisms taking into account the fluid project context. The two way communication work will continue throughout the project life cycle and the messaging will factor-in the analysis of grievances and beneficiaries queries that will have a systemic aspect related to implementation issues.

222. The CE will provide the Bank and the Government of Iraq (GoI) with a reliable, real time, system check, and an early warning mechanism so as to discourage corrupt practices, ease social tensions and promote participation and inclusion. The CE and communication dimension will be an intrinsic part of the project and as such has earmarked funding with clear assignment of responsibilities. Ultimately, project success will depend to a significant degree on the Government’s ability to engage effectively with its citizens.

223. Furthermore, citizen’s engagement strategy will be designed to ensure a transparent and inclusive process in the design and delivery of the Housing Reconstruction Subsidy Scheme. Data will be gathered, processed and visualized, in a timely and reliable manner, enabling public service providers




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and their collaborators to respond to the public’s needs in an efficient and effective way.

224. A number of indicators within the results framework are created in order to clearly capture feedback from beneficiaries and citizens, in addition to which the M&E plan will monitor the degree of involvement in decision-making that citizens have in the second phase design, implementation, and oversight of projects. Furthermore, it will also report on whether the feedback loop was closed.

225. ICT tools will be developed and used to help citizens monitor the implementation of the various components of the IEODP (some remotely), support data collection (including both current and historical data), and monitor service usage. These ICT tools will include a call center to register citizen grievances and collect feedback, SMS messaging, a toll free number, web solutions and social media. The tools will be promoted through a public awareness campaign; a public satisfaction survey – included within the annual beneficiary surveys, to elicit customer feedback. In addition, mobile surveys and web-based citizen reporting will be used to enhance information flows. The project also intends to develop a Management Information System (MIS) and GIS systems, database, and website to enable the analysis and presentation of data.

226. The key objective of the assignment will be to enable the PCU to engage with various stakeholders, in addition to direct beneficiaries, to promote their understanding, buy-in and ownership of the project. A rapid stakeholder’s analysis should be the building block for the citizen’s engagement strategy, with information on target audiences and the beneficiaries preferred citizen’s channels and tools of engagement.

227. CE activities will:

a) Stakeholder consultations (public hearings/meetings, household surveys and community focus groups, study circles, community task forces).

b) Public display of Information (billboards, information boards, media and web-sites)

c) Electronic connections (SMS information flows, tele-call centers and social media pages)

d) Project-level mechanisms (face-to-face contacts via PMTs, implementation agencies, etc.)




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228. The citizen’s engagement strategy and team will work in close coordination with the C&S and M&E teams to ensure a systematic analysis of impact and feedback should be conducted on a regular basis to help refine messages, citizen’s engagement activities and improve targeting as well as the use of appropriate citizen’s engagement channels (TV, radio, brochures etc).

229. M&E, will be as an integral part of the citizen engagement plan, in order to provide important inputs for learning and eventual adaptation of the engagement process. Implementing M&E during citizen engagement will be oriented around measuring outputs, outcomes and impact. Outputs will be the direct results of the activities (reports issued, grievance systems established, number of consultations held, number of people trained). Monitoring outputs will represent the most basic level of accountability for the IEODP. Outcomes, will measure both intended and unintended consequences of the implementation process, the effects and changes in behavior and performance of parties involved in the engagement as a result of the citizens engagement process, such as what types and amount of grievances addressed, how effective has citizen feedback been in enhancing project delivery, skills acquired by implementing partners and beneficiaries, and perspectives gained. Monitoring at this level enables learning and mid-course adjustments. Impact, both intended and unintended, encompasses the longer term and higher order results, such as institutional strengthening of participating agencies leading to improved service provision, laws emerging as the result of an agreement, and so on. Assessing impact is challenging as it entails a longer time-span with changes normally evident only after several years. Assessing impact also confronts the problem of attribution, since it is generally difficult to establish a clear causal link between activities supported and impact.

230. A CE consultant will be engaged to assist the Project and will report to the PCU CE specialist and coordinate closely with the PMT focal points as well as with CSOs, NGOs, FBOs and any other active citizens group, as well as with the implementing agencies and other stakeholders. The consultant/firm will conduct the stakeholders’ mapping and audience analysis as a first step and present/validate the findings with PCU and then formulate the citizen’s engagement strategy that will include feedback and will be articulated into specific annual CE Action Plans.

231. The main tasks the CE consultant will be responsible for will be:

a) Undertake a stakeholder mapping and audience analysis to determine the most appropriate citizen’s engagement channels to use with various audience groups and determine appropriate messaging streams.




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b) Plan, organize and roll-out consultation sessions with various stakeholder groups to assess pre-project perceptions, views and expectations from the project. A particular attention to gender balance is required in the roll-out of the consultations, namely in light of the sizable proportion of women out of the total population on the project areas. Gender-responsive measures will also be reflected in the design and evaluation of the project, such as sex-disaggregated surveys and gender focus groups.

c) Develop a citizen’s engagement strategy to support the implementation of the project (identification of key stakeholders, messages, channels and tools);

d) Develop and action plan to support the PCU in the implementation of the citizen’s engagement strategy.

e) Assist the PCU in organizing and conducting a series of regular information sharing meetings, public hearings, consultations, training courses, media briefings, press conferences, radio and TV spots.

f) Assist the PCU in the drafting and dissemination of press releases, FAQs, talking points, speeches, fact sheets, brochures…

g) Develop and deliver a program of structured and ongoing citizen’s engagements capacity building training for the PCU namely in media relationship management, website management, social media management…

h) Ensure close monitoring of the media coverage of the project related sectors and activities and provide monthly updates to the PCU on the public understanding and perceptions regarding implementation.

i) Assist the PCU in developing an online and mobile based citizen’s engagement action plan providing up-to-date information about the project activities and implementation progress.

j) Contribute to the elaboration of the project grievance redress mechanism and develop the appropriate citizen’s engagement messages, tools and channels to promote it and evaluate its effectiveness in conveying beneficiary feedback and bringing complaints to closure.

k) Monitor and measure citizen’s engagement impact and provide feedback on refining messages and improving targeting through the appropriate channels based on audience analysis as well as online citizen’s engagement metrics.




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SECTION VI: FIDUCIARY ARRANGEMENTS

6.1 FINANCIAL MANAGEMENT AND DISBURSEMENT PROCEDURES

232. Financial management refers to the stages of disbursement, reporting, accounting and auditing that take place after expenditure has been authorized. Financial management is very often closely linked to procurement.

233. This chapter gives guidance on how adequate, timely, accurate and reliable financial information can be obtained at any time. Government and donors require such information to monitor and evaluate the progress achieved in the implementation of the Project in the light of the agreements made between the Government and the donors.

6.1.1 FINANCIAL MANAGEMENT GUIDELINES 234. The Financial Management procedures will follow the same procedures for

going World Bank projects in Iraq. The Emergency Road Rehabilitation Project (ERRP) and the Transport Corridors project (TCP) being two.

6.1.2 FINANCIAL MANAGEMENT DUTIES AND RESPONSIBILITIES 235. The financial team is responsible for managing the Loan in compliance with

WB procedure. The FT tasks are listed below but not limited to:

· Develop guideline manual defining functional procedures that are compliance with Financing Plan (FM) that agreed with the WB. This manual is updated every six month.

· Prepare Annual Budget (AB) and Annual Disbursement Forecast (ADF) reports and asked for PCU and WB approval

· Ensuring timely payment transactions for different parts of the project (work, goods, and services) and according to the pre-defined procedures

· Manage and Replenish of the Designated Account (DA) at the due time to ensure validity of fund

· Manage account system as data entry · Keep records of all financing transaction, correspondences, and minutes of

meetings · Generate monthly financial statement report, quarterly and annually reports




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· Facilitate internal auditing through providing archived document and supporting documents

· Organize for external international auditing firm

6.1.3 DISBURSEMENT PROCEDURES

6.1.3.1 Disbursement

6.1.3.1.1 Bank disbursement guidelines 236. Funds available for the project will be disbursed in accordance with the

project’s legal agreement and the disbursement letter. The main sources of information regarding the Bank’s disbursement policies can be found in “World Bank Disbursement Guidelines for Projects”, dated May 1, 2006 (can be found as part of the Disbursement Letter). Further information can also be found in the Disbursement Handbook available on the Bank’s public website at http://www.worldbank.org and its secure website “Client Connection” at http://clientconnection.worldbank.org.

6.1.3.1.2 Withdrawal application preparation, authorization and approval 237. Initially and once the legal agreement is signed, the PMT should furnish to the

Bank an official letter providing the name(s) and specimen signature(s) of the official(s) authorized to sign the applications. If there is a change in one of the official names then a new letter must be sent to the Bank including the same information as above.

238. On a regular basis, the project should provide completed and signed applications for withdrawal, together with relevant supporting. The Bank usually sets minimum application sizes in the disbursement letter. The project should aggregate eligible expenditures until they reach this minimum.

239. A WA is signed by the designated officials (whose specimen signatures are on the Bank’s files), and submitted to the Bank’s disbursement unit (2 copies), with copies to the Ministry and as required for the purposes of internal control and audit. On approval, funds will be transferred to the designated project account or paid to a third party, depending on the beneficiary and the banking instructions specified on the WA.


http://www.worldbank.org

http://clientconnection.worldbank.org



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240. Once a payment is effected, a payment advice is sent to the implementing agency. Information will also be available through the Bank’s online information system, the Client Connection service (as per paragraph: Section VI, paragraph 6 below).

241. Applications for special commitments, when used, should also be sent to the Bank together with a copy of the commercial bank letter of credit.

6.1.3.1.3 Disbursement Methods 242. The following disbursement methods will be used under this project:

· Advances to the Designated account (DA)

243. The “advance” disbursement method has been introduced to be utilized by the project as per the disbursement letter. Project will open a segregated (an account into which only proceeds of the grant may be deposited) designated account (DA) at the bank in the name of the project. The currency of the account will be USD. The ceiling will be equivalent to the amount included in the disbursement letter. At the Borrowers request, the amount will be withdrawn from the grant account and deposited in the DA for the purpose of paying eligible expenditures as they are incurred.

244. Management and administration of the Designated Account will be undertaken by the PMT and ensure that proper internal control over access to funds. PMT will check the eligibility of expenditure by ensuring that the contract is eligible for funding; appropriate percentage is withdrawn from the DA and by reconciling the bank statement of account with the project records and client connection records. PMT will be responsible for submitting the withdrawal application (WA) with appropriate supporting documentation for expenditures incurred. Deposits into and payments from the DA to pay will be made in accordance with the provisions of the loan agreement.

245. Authorized Signatories. Any of the following are authorized to sign Withdrawal applications, the Minister, or Undersecretary, or PMT Director. However, three staff, namely; Project Director, Deputy Director, and Senior Accountant are authorized to sign checks.

246. Replenishments of the designated Account would follow Banks procedures. Supporting documentation should be provided with each WA reporting eligible expenditures paid from the DA include records reporting eligible expenditures (e.g. monthly payroll sheet, copies of receipts, supplier invoices) and the designated account bank statements and a bank reconciliation statements




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(sample attached in the IFRs) .the Third Part Monitoring Agency will ensure that the documentation is reviewed for accuracy ,proper authorization and completeness of documents before presenting it to the WB. The Third Party Monitoring Agency will conduct additional checks and reviews to ensure compliance with the agreed additional fiduciary arrangements associated with the opening a DA .the frequency of reporting eligible expenditure paid from the designated account is monthly.

247. Monthly designated account reconciliation statement: A monthly bank Statement should be brought from the bank, or as frequent as a WA is submitted to the bank for replenishment. Bank reconciliation between balance per bank statement and PMT bank account balance should be undertaken by the PMT Accountant and to be reviewed by financial officer (FO) and internal auditor and finally approved by the PMT manager. This bank statement and the reconciliation statement should be attached to the WA and also the IFRs. Outstanding and pending items be followed up until cleared.

248. Withholding Advances. The World Bank (WB) is not required to make any deposits into Designated account if:

a. The WB determines that payment of the deposit would result in exceeding the ceiling of the approved project;

b. The WB is not satisfied that the recipients planned project expenditures justify the deposit. The WB may by note to recipient adjust the amount it deposits or withhold further deposit into the DA until it is satisfied that the financial needs of the project warrant further deposit.

c. The recipient fails to provide audited financial statements required in accordance within the period of time specified in the Grant agreement

d. The WB determines that all further withdrawals of the loan proceeds should be made by the recipient directly from the loan account; or

e. The WB has notified the recipient of its intension to suspend in whole or in part the recipients right to make withdrawals from the loan Account

249. Recovery of the Advance is affected by gradually proportionally reducing

advances to the designated account such that the designated account is fully depleted by the Loan closing date. Recovery usually begins when the undisbursed balance of the equal to twice the amount of the advance or when the closing is less than six months away.




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250. Auditing Requirement for the DA. The audit TORs should be updated to obtain additional assurance for financial reporting involved in the preparation of replenishments. In the audit opinion, the auditor would reflect his opinion on internal control over financial reporting involved in the preparation of replenishments and whether these can be relied upon to support the related withdrawals as of a specific year end.

· Reimbursement:

251. The WB reimburses the project for eligible expenditures spent from the project bank account which is financed through an advance given by MOF.




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Box A: Application for Reimbursement of Expenditures Applications for reimbursement of expenditures are made at regular intervals, usually monthly. It is made on the electronic WA form 2380, with the following attachments:

• A summary sheet with copies of contracts (when applicable), invoices or progress claims, no-objection statements (where relevant), evidence of shipment (for goods) or delivery of services, evidence of payment;

• All other payments should be included in the summary sheet together with their supporting documents.

· Direct Payments:

252. The WB makes payments, at the borrower’s request, directly to a third party for eligible expenditures.

Box B: Direct payment by the WB

Under this project for payments made to beneficiaries outside Iraq with bank accounts outside Iraq, the PMT sends a withdrawal application to the WB requesting that the WB makes a direct payment of the amount due directly to the beneficiary. The FO prepares the WA with supporting documentation such as invoices, and shipping documents, and ‘No Objection’ (if relevant), obtains the signatures of the authorized signatories, and sends copies as above. The Bank makes the payment directly to the bank account of the third party, and sends a payment advice to the PMT.

6.1.3.1.4 Ineligible Expenditures 253. Loans cannot be used to pay for certain ineligible expenditures. All

expenditures must be project related and for the purposes intended under the project, with due consideration to economy and efficiency.

254. Payments made before the loan agreement was signed are not eligible for reimbursement unless they are specifically identified in the loan agreement for retrospective financing. In this case, a separate withdrawal application for reimbursement should be prepared and submitted promptly after the loan




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becomes effective. The payee in this case would be the implementing agency, or whoever made the original payments.

6.1.3.1.5 Supporting documentation 255. Information regarding supporting documentation can be found in the

Disbursement letter and typically include:

· For payments against contracts that are subject to Bank’s prior review (as detailed in the Legal agreement): records evidencing eligible expenditures, (e.g., copies of receipts, supplier invoices).

· For requests for direct payment: records evidencing eligible expenditures, e.g., copies of receipts, invoices.

6.1.3.1.6 Client connection 256. Client connection is a Bank’s website (clientconnection.worldbank.org.)

that offers government officials and project implementing agencies quicker access to information about their portfolio. In order to access information about this project, the PMT needs to create an account in client connection using the help of the Bank’s task team. Once the account is created, WB gives access to the PMT.

6.1.3.1.7 Disbursement deadline and grace period 257. According to the World Bank guidelines, the disbursement deadline date is 4

months after the closing date specified in the Legal Agreement (or in case of changes: as notified by the WB).

258. Also according to the guidelines, the project is allowed a four month grace period during which the project is allowed to pay eligible expenditures for services performed by the consultant/contractor and approved by the PMT technical department prior to the closing date.

259. All original copies of the supporting documentation will be maintained by the PMT and made available for review by Bank representatives or the external auditor upon request.




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6.1.3.2 Flow of Funds

6.1.3.2.1 Funds flow process 260. As explained in the disbursement section of this report, flow of funds from the

Bank to the project will follow one of two ways depending on whether the beneficiary is located in Iraq or outside Iraq.

261. Direct Payment from the WB to beneficiary: The Bank will directly pay beneficiaries through their bank accounts. The funds will flow according to figure 1.




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Figure 1: Direct payment from the WB to beneficiaries

Figure 2: Flows of funds to / from Designated Account Chart

World Bank checks the WA and

supporting doc and authorizes payment

Beneficiary

Quarterly IFRs

Internal Audit for review and approval

Send Invoice & supporting documents

The FO checks accuracy & consistency of Docs

The FO prepares a payment Request

Invoice & supporting documents are reviewed by technical department

W/A prepared by Accountant reviewed by PMT FO and signed by authorized signatory

Beneficiary bank account

Direct payment to beneficiary

Sent to Ministry




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6.1.3.2.2 Ineligible Expenditures 262. Loans cannot be used to pay for certain ineligible expenditures. All

expenditures must be project related and for the purposes intended under the project, with due consideration to economy and efficiency. Expenditures are financed 100%, unless otherwise specified in the loan agreement.

263. Payments made before the loan agreement was signed are not eligible for reimbursement unless they are specifically identified in the loan agreement for retrospective financing. In this case, a separate withdrawal application for reimbursement should be prepared and submitted promptly after the grant becomes effective. The payee in this case would be the implementing agency, or whoever made the original payments.

6.1.4 ACCOUNTING SYSTEM AND ARRANGEMENTS 264. The PMT should establish a filing structure that will ensure that any particular

record can easily be retrieved when it is needed. Cashbooks, ledgers and other key paper records should be kept in fireproof safes overnight.

265. All financial documentation (cash books, ledgers, registers, payrolls, bank statements, invoices, payment requests, receipts and other vouchers) shall be retained by the PMT and be available for inspection by external auditors, Third Party Monitoring, and the WB as they may require. The documents should be retained till 12 months after the World Bank receives the audit report for the year in which the last withdrawal is made to the project, or the legal minimum period in Iraq, whichever is longer.

6.1.5 FM PLANNING & REPORTING

6.1.5.1 Budget

6.1.5.1.1 Inclusion in Government Budget 266. According to the Iraqi law, all external assistance has to be integrated into the

Iraqi national budget. IDA funded projects come within the investment budget and are included in the annual budget of the implementing agency. Details of preparation can be found in the Master Implementation Manual (MIM). The MOF will include each IDA funded project as a separate line in the investment budget, in the same way as other projects.




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6.1.5.1.2 PMT budget report preparation 267. The PMT will maintain a yearly project budget and a detailed disbursement

plan per quarter. The budget and the disbursement plan will be developed based on the initial procurement plan, implementation schedule and estimated payments cycles, and revised on quarterly basis.

268. The FO is responsible for preparing and obtaining approval for the annual project budget which should reflect the best estimate of how the Procurement Plan is to be implemented and managed over the coming year.

269. The budget should be broken down by component and category.

270. The following tasks should be performed by the FO when preparing the budget:

· Meet with the procurement officer, the technical departments and the project manager and agree on the timetable of services and works to be performed.

· Obtain a copy of the latest procurement plan and the implementation plan taking into consideration the result of the PMT meeting.

· Prepare a budget that should reflect all the activities included in the implementation and procurement plan which are planned for the forthcoming year.

· Payments should be allocated to the relevant quarter taking into consideration: (i) the expected date of the service to be performed and the time needed to process the payment.

6.1.5.1.3 PMT budget monitoring 271. Actual expenditures should be compared to the budget monthly, and all

variances of 15% or more between budgeted and actual amounts should be flagged and explained. For budget monitoring purpose, the FO should send with the quarterly interim reports a disbursement plan with explanation of variances.

6.1.5.2 REPORTING 272. The project’s legal agreement stipulate that the project has to provide the WB

with sufficient information on the use of funds to establish that funds disbursed are being used for the purpose intended, project implementation is on track, and budgeted costs will not be exceeded.

273. The PMT will be responsible for preparing the following:




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· Quarterly Interim Unaudited Financial Reports (IFRs) to be submitted to the Bank within 45 days from the quarter then ended. These reports consist of a statement of sources and uses of funds by component; statement of uses of funds by category of expenditure, both comparing actual and planned expenditures; a list of cumulative contracts’ commitments; designated account reconciliation statement, and a list of assets.

· Annually Project Financial Statements (PFS), submitted as part of the audit package with the independent auditor opinion to the Bank not later than six months after the end of each FY. The PFS include: (i) statement of sources and uses of funds by component; (ii) statement of uses of funds by category of expenditures, both comparing actual and planned expenditures; (iii) list of contracts’ commitments; (iv) a designated account reconciliation statement, (v) and a list of assets.

274. The FO will be responsible for preparing these reports and will rely on spreadsheet applications to generate these reports. A report showing all contracts signed to date under the project together with payments made on these contracts and what is remaining should be monitored and updated on a regular basis. Contracts signed should be cross checked with the procurement officer and the procurement plan and payments made should be cross checked with uses of funds.

6.1.6. FINANCIAL MANAGEMENT INTERNAL CONTROLS 275. The Project will be implemented through centralized management and

disbursement functions within each PMT authority with specific controls and procedures documented in the financial management manual. Owning to the similarity of the proposed internal procedures of this Project with the projects currently implemented by MoCH-DRB, MoMWP, and MoE, each PMT will be using the same financial management manual developed earlier from previous operations with some necessary updates. The financial management manual would document the Project’s implementation of internal control functions and processes and describes the responsibilities of each PMT staff which are summarized in terms of authorization and execution processes. The expenditure cycle will specify the following steps: (i) technical approvals for civil work and deliverables by consultants, (ii) administrative approval by each PMT Manager, (iii) issuance of payments will be made upon receipt of supportive documentation and written requests signed by authorized officials, and (iv) verification by the financial officer of the accuracy and compliance of the payment requests with the loan agreement. Figures below demonstrates the flow




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of funds and documentation. The FM manual will include a detailed chapter on inventory management of good/equipment purchased and delivered to the warehouses of the implementing ministries, describing the inventory management arrangements with controls to safeguarding those goods, including the role of the TPMA in performing verification of received goods and their delivery and installation in the sites.

276. Independent private consulting firms, financed from the Loan, will be contracted to perform construction supervision on the ground. All claims will be verified (technically) from the consultancy firm before being processed further for payment by the PMT. Goods/equipment will be purchased based on supply and installation, while some will be supplied to the implementing ministries warehouses. The TPMA will be involved in verifying the goods/equipment received and their delivery and installation in the respective sites.

277. On a monthly basis, each PMT Financial Officer will reconcile the Project account bank statement with the account book balance. Reconciliations should be prepared by each PMT Financial Officer and verified by the PMT Manager. All reconciling items (if any) should be listed, explained and followed up on. Copies of the reconciliation together with the account bank statement should be kept in the Project files and should be attached to the IFRs.

278. Flow of Documentation, approvals, and Funds. The flowcharts below depicts the flow of documentation and flow of funds at each PMT:




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Table 7: Flow of funds

Document flow Cash & Documents flow - Civil WorkCash flow

submit invoices & supporting documents

Check or Bank transfer

Payment Bank replenishes DA sends WA to WB

Direct payment

Consutruction firm

Private construction supervision company

PMT Manager

Follow up Engineers

PMT Procurement

Legal Council

PMT Finance Team

PMT Internal Auditor

ProjectDA

Construction Firm

Accounting Entry - Project systemInterim Un-

Audited FinancialReports(IFRs)

World Bank IBRD

PMT Finance Team

Document flow Cash & Documents flow - Consultancy Services Cash flow

Check or Bank transfer

Payment Bank replenishes DA sends WA to WB

Direct payment

Consultants

PMT Manager

PMT ProcurementLegal Council

PMT Finance Team

PMT Internal Auditor

ProjectDA

Consultants

Accounting Entry - Project

systemInterim Un-

Audited FinancialReports(IFRs)

World Bank IBRD

PMT Finance Team




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6.1.7 EXTERNAL AUDIT ARRANGEMENTS

6.1.7.1 External Auditing

6.1.7.1.1 Audit Plan and auditor appointment 279. The Bank requires the implementing agency to have annual financial

statements audited by an auditor acceptable to the Bank, according to terms of reference acceptable to the Bank, and to provide annual audited statements to the Bank within six months of the end of the financial year.

280. The PMT generally and the FO specifically should ensure that an auditor is hired and that the audit fieldwork commences in a way that allows the PMT to send the audit package to the WB before or by the due date. Therefore the audit hiring process should begin as soon as possible but in any case at least 9 months before year end.

281. The Bank closely monitors the hiring of the auditor and gives its No Objection in different stages. Most importantly the Bank gives its NO on the audit TORs and the final selection of the auditor.

6.1.7.1.2 Terms of Reference 282. The audit will be carried out in accordance with the International Standards on

Auditing (ISA) issued by the International Federation of Accountants (IFAC) and having regard to relevant financing agreements and World Bank particular requirements, and should pay special attention to the following:

• All funds disbursed under the Project are eligible, have been used, accounted for and classified in accordance with the relevant Loan/Grant agreements and all the disbursements made on behalf of the project are in accordance with the World bank disbursement guidelines;

• The PFS are prepared in accordance with the International Public Sector Accounting Standards, under the cash basis of accounting and give a true and fair view of the financial operations of the project within the year. Any material deviations from those standards and the impact of such departures on the project financial statements as presented would be stated;

• An assessment of the effectiveness of the internal controls over financial reporting involved in the preparation of replenishments, direct payments, payments through special commitments, and reimbursements i.e.




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expenditures reimbursed on the basis of Statements of Expenditures can be relied upon to support the related withdrawals;

• Goods and services financed have been procured in accordance with World Bank Procurement Guidelines updated in May 2004 and October 2006;

• All necessary copy of supporting documents, records, and accounts have been kept in respect of all projects. Clear linkages should exist between the books of account and the Project Financial Statements (PFS) presented to the Bank;

• Where Special/Designated Accounts have been used, they have been maintained in accordance with the provisions of the relevant Loan/ Grant agreements;

• Project expenditures as reported by the Governing Body are reconciled with the amounts withdrawn from the Special/ Designated Account and the amounts deposited to the Special/ Designated account are reconciled with the amounts disbursed from the Loan/ Grant agreements.

• Eligibility of expenditures claimed under Statement of Expenditures submitted to the World Bank for replenishment. This is in addition to substantiation of these expenditures;

• An assessment of project implementation and whether financial and physical progress is consistent during the project period. The monitoring of the expenditures in relation to physical progress is validating that physical progress and disbursements are under proper financial control

• Ensure that the fixed assets financed by the project are purchased in accordance with contracts and payment documents, are used for the purpose for which they were acquired and are physically existent;

• Verify that checks are signed by those authorized by management and negotiated by the intended payee under a specific contract and as required under the terms of the Loan/Grant agreements;

283. The Auditor will be expected to review all correspondences with the World

Bank in relation to the Project including copies of the Aide Memoires, Mission Reports, and assess progress on all financial issues. The Auditor will pay special attention to any specific risk area as mentioned in the project documents




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(such as PAD, etc.)All funds provided to the project have been used, accounted for and classified in accordance with the relevant Financing and Project Agreements;

284. The audit TOR will be posted on the RF and WB websites.

6.1.7.1.3 Audit deliverables 285. There are three main deliverables of the audit engagement for the project:

Yearly Audit Report which shall include an explicit professional opinion whether (i) The General Purpose Project Financial Statements (PFS) present fairly, in all material respects, the cash receipts and payments of the Project for the year ending ….and showing cumulative balances as at ……in accordance with the International Public Sector Accounting Standards(IPSAS), under the cash basis of accounting; (ii) internal control over financial reporting involved in the preparation of replenishments, direct payments, payments through special commitments, and reimbursements i.e. expenditures reimbursed on the basis of Statements of Expenditures can be relied upon to support the related withdrawals as of ……, (iii) the Designated Account has been used exclusively for payment of eligible expenditures as reflected in the PFS, (iv) The project was in all material respects in compliance with the laws, regulations, guidelines and provisions governed by the Loan agreement.

286. The Auditor should take into account relevant statutory and other mandatory

disclosures and accounting requirements stipulated in the Loan agreement and express in the report any relevant exception and the impact of the exception on the PFS.

A Yearly Management Letter which should report any significant accounting and control issues arising from the audit, as identified during the internal control mechanisms review together with the related risk. The letter, with management responses, and recommendation to address the situation and insufficiencies, should be made available to the Governing Body in time. As annex of the Management Letter, the Auditor will mention whether or not recommendations issued on the previous Management Letter have been considered by each PMT.




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6.2 PROCUREMENT ARRANGEMENT

6.2.1 GUIDELINES 287. Procurement will be carried out in accordance with the ‘Guidelines On

Preventing and Combating Fraud and Corruption in Projects Financed by IBRD Loans and IDA Credits and Grants Dated October 15, 2006 and Revised in January, 2011’, and the “Guidelines: Procurement of Goods, Works, and Non-Consulting Services under IBRD Loans and IDA Credits and Grants” dated January 2011 revised July 2014, and “Guidelines: “Selection and Employment of Consultants under IBRD Loans and IDA Credits and Grants by World Bank Borrowers” dated January 2011 revised July 2014. These are the key reference documents for all procurement carried out under the Project. These Guidelines place emphasis on obtaining a high quality service through ensuring economy and efficiency, providing equal opportunity for qualified consultants, encouraging development of local consulting capabilities and creating transparency in the selection process. Furthermore, these Guidelines stress the need to eradicate fraud, bribery and corruption in Procurement; and they are applicable to all contracts for Goods, Non-consulting Services and Consulting Services that may take place under the Project.

6.2.2 PROCUREMENT METHODS 288. Procurement Methods possible under the Project include the following long

and flexible list:

Table 8: Procurement methods Methods of procurement of goods, works and non-consultancy services

Methods of Procurement of Consulting Services

International Competitive Bidding (ICB)

Quality and Cost Base Selection (QCBS)

National Competitive Bidding (NCB)

Quality based selection (QBS)

Direct Contracting (DC) Selection under a Fixed Budget (FBS) Shopping Least Cost Selection (LCS) Limited International Bidding (LIB)

Selection Based on the Consultants’ Qualification (CQS)

Framework Agreement Single Source Selection (SSS) Force Account Selection of UN Agencies




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Procurement from UN agencies Use Of Nongovernmental Organizations (NGOs)

Community participation in procurement

Selection of Individual Consultants (IC)

Single Source procedures for selection of Individual Consultants

Selection of Consultants under Indefinite Delivery Contract or Price Agreement

6.2.3 METHODS OF PROCUREMENT OF GOODS, WORKS AND NON-CONSULTING SERVICES 289. The procurement methods and process are as defined in the Procurement

Guidelines, but since this is an emergency Project, the procurement of Works & Goods & Non-Consultancy Services will benefit from simplified Bank Procedures as follow:

290. Direct Contracting. Direct contracting for the procurement of civil works and goods (paragraph 3.6 (a) and (e) of the Procurement Guidelines) will be used to extend an existing contract or award new contracts in response to the emergency situation. For such contracting, the Bank reviews the cases to be satisfied that the price is reasonable and that no advantage could be obtained by further competition. The direct contracting may be from the private sector, UN agencies/projects (for goods), or contractors or NGOs that are already mobilized and working in the liberated areas.

291. Shopping. Shopping in accordance with paragraph 3.5 of the Procurement Guidelines may be an appropriate method for procuring readily available off-the-shelf goods of values less than $500,000, or simple civil works of values less than USD 1 million. In exceptional cases, when shopping needs to be followed for contracts estimated to cost more than these thresholds, the Bank needs to review and clear each case. The Procurement Plan should determine the cost estimate of each contract. The borrower PMTs should solicit at least three price quotations for the purchase of goods, materials, small works, or services (other than consulting services), to formulate a cost comparison report.

292. NCB & ICB Procedures. Simplified NCB procedures and documentation can be used where international competitive bidding (ICB) procedures are considered to be inappropriate or too complex where there is clearly no international market appetite to participate in bidding.




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293. Procurement of Works. Given the emergency nature of this Project, and as long as the qualified contractors are available locally, works to be procured under this project will use the Standard Bidding Documents prepared for Iraq for NCB contracts (both retroactive and future procurement) up to a threshold of USD 10 million per contract. If there are difficulties identifying competitive sources locally for NCB, such contracts will also be procured following ICB, where the Bank’s Standard Bidding Documents (SBD) for all ICB packages above USD 10 million will be used.

294. Procurement of Goods. Given the emergency nature of this Project, and as long as the goods are available locally, Goods procured or to be procured under this project will use the NCB standard procedure or standard bidding documents prepared for Iraq for all packages up to USD 1 million. If there are difficulties identifying competitive sources locally for NCB, such contracts will also be procured following ICB and the Bank’s Standard Bidding Documents (SBDs) for all ICB packages above USD 1 million, will be used.

6.2.3.1 NCB & ICB Provisions 295. Accelerated Bid Times. Under ICB and NCB, accelerated bid times of 21

days for ICB and 10 days for NCB may be used, but bidding periods shorter than 21 days for ICB and 10 days for NCB should be cleared with the Bank first, taking into consideration the capacity of firms (local and international) to prepare responsive bids in a short period.

296. Waiving Bid and Performance Security Requirements. For small contracts for goods or works, the preparation of bids by small and medium-size suppliers or contractors can be accelerated by taking the option, set out in paragraph 2.14 of the Procurement Guidelines, of not requiring a bid security. Similarly, in the case of small contracts for works or supply of goods, the Ministry (PMT) may decide not to require a performance security in accordance with paragraph 2.40 of the Procurement Guidelines. However, in works contracts, retention money may be retained during the liability period, and for goods contracts, manufacture warranties will be requested.

297. Advance Payment. Where it is not easy for contractors and suppliers to obtain lines of credit from banks, the borrower may consider increasing the amount of advance payment under works and supply contracts to up to 40 percent of the contract value, provided that the contractor/supplier provides a bank guarantee for the same amount and the Bank clears this increased value of advance payment.




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298. Simplification of Pre and Post Qualification criteria. The pre and post qualification criteria requirements of the Bank’s SBDs for both ‘Large works and Small Works’ can be simplified and minimized in order to optimize the participation of available local or regional contractors. In particular, adapting the qualification requirements to match the qualifications of available and competent local and regional contractors.

299. Prequalified Suppliers and Contractors. Using lists of prequalified suppliers and contractors to whom periodic invitations are issued may also help accelerate the procurement process. Such an approach would be consistent with paragraphs. 2.9 and 2.10 of the Procurement Guidelines, but instead of being used for large and complex works or goods, it could be used for a large number of similar simple contracts of any size, as well as for procurement of commodities, per paragraph 2.68 of the Procurement Guidelines. Prequalification documents may use a simplified format that is acceptable to the Bank. Suppliers and contractors would be asked to provide quotations for simple unit prices, as for commodities. Contracts should be awarded on a competitive basis and may be preferably packaged in small contracts for short durations of less than 18 months at fixed prices, or longer durations, with a price escalation clause and the possibility of extension upon mutual agreement between the client and the supplier. ]

300. Additional Provisions for National Competitive Bidding. The following additional provisions shall apply to the procurement of goods, works and non-consulting services through National Competitive Bidding:

(a) Standard bidding documents approved by the Bank shall be used. (b) Invitations to bid shall be advertised in at least one (1) widely

circulated national daily newspaper and bidding documents shall be made available to prospective bidders, at least twenty eight (28) days prior to the deadline for the submission of bids.

(c) Bids shall not be invited on the basis of percentage premium or discount over the estimated cost.

(d) Bidding documents shall be made available, by mail or in person, to all who are willing to pay the required fee.

(e) Foreign bidders shall not be precluded from bidding and no preference of any kind shall be given to national bidders.

(f) Qualification criteria (in case pre-qualification has not been carried out) shall be stated in the bidding documents, and if a registration




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process is required, a foreign firm determined to be the lowest evaluated bidder shall be a given reasonable opportunity to register without any hindrance, i.e. no non-registration status should be considered as a non-eligibility-to-bid criterion.

(g) Bidders may deliver bids, at their election, either in person or by courier service or by mail.

(h) Bids shall be open in public in one place preferably immediately, but no later than one (1) hour, after the deadline for submission of bids.

(i) Evaluation of bids shall be made in strict adherence to the criteria disclosed in the bidding documents, in a format, and within the specified period, agreed with the Bank.

(j) Bids shall not be rejected merely on the basis of a comparison with an official estimate without the prior concurrence of the Bank.

(k) Split award or lottery in award of contracts shall not be carried out. When two or more bidders quote the same price, an investigation shall be made to determine any evidence of collusion, following which: (i) if collusion is determined, the parties involved shall be disqualified and the award shall then be made to the next lowest evaluated and qualified bidder; and (ii) if no evidence of collusion can be confirmed, then fresh bids shall be invited after receiving the concurrence of the Bank.

(l) Contracts shall be awarded to the lowest evaluated bidders within the initial period of bid validity may be sought only under exceptional circumstances.

(m) Extension of validity shall not be allowed without the prior concurrence of the Bank: (i) for the first request for extension if it is longer than eight (8) weeks; and (ii) for all subsequent requests for extensions irrespective of the period.

(n) Negotiations shall be not allowed with the lowest evaluated or any other bidders

(o) Re-bidding shall not be carried out without the Bank’s prior concurrence.

(p) All contractors or suppliers shall provide performance security as indicated in the contract documents. A contractor’s or a supplier’s performance security shall apply to a specific contract under which it was furnished.




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301. Standard Bidding Documents (SBDs): For NCB under both Works and Goods The SBDs prepared for Iraq for NCB contracts may be used on the condition of being updated to include a provision requiring the bidders to permit and cause their agents (whether declared or not), sub-contractors, sub-consultants, service providers, or suppliers and any personnel thereof to permit the Bank to inspect all accounts, records and other documents relating to any prequalification process, bid submission, and contract performance (in the case of award), and to have them audited by auditors appointed by the Bank. Further, updating of the Fraud and Corruption Clause to match the Bank’s latest Procurement Guidelines as follows:

It is the Bank’s policy to require that Borrowers (including beneficiaries of Bank loans), bidders, suppliers, contractors and their agents (whether declared or not), sub-contractors, sub-consultants, service providers or suppliers, and any personnel thereof, observe the highest standard of ethics during the procurement and execution of Bank-financed contracts. In pursuance of this policy, the Bank defines, for the purposes of this provision, the terms set forth below as follows:

(i) “Corrupt practice” is the offering, giving, receiving, or soliciting, directly or indirectly, of anything of value to influence improperly the actions of another party;

(ii) “ fraudulent practice” is any act or omission, including a misrepresentation, that knowingly or recklessly misleads, or attempts to mislead, a party to obtain a financial or other benefit or to avoid an obligation;

(iii) “Collusive practice” is an arrangement between two or more parties designed to achieve an improper purpose, including to influence improperly the actions of another party;

(iv) “Coercive practice” is impairing or harming, or threatening to impair or harm, directly or indirectly, any party or the property of the party to influence improperly the actions of a party;

(v) “Obstructive practice” is: i. deliberately destroying, falsifying, altering, or concealing of evidence

material to the investigation or making false statements to investigators in order to materially impede a Bank investigation into allegations of a corrupt, fraudulent, coercive or collusive practice; and/or threatening, harassing or intimidating any party to prevent it




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from disclosing its knowledge of matters relevant to the investigation or from pursuing the investigation, or

ii. Acts intended to materially impede the exercise of the Bank’s inspection and audit rights provided for under paragraph below.

a. will reject a proposal for award if it determines that the bidder recommended for award, or any of its personnel, or its agents, or its sub-consultants, sub-contractors, service providers, suppliers and/or their employees, has, directly or indirectly, engaged in corrupt, fraudulent, collusive, coercive, or obstructive practices in competing for the contract in question;

b. will declare mis-procurement and cancel the portion of the loan allocated to a contract if it determines at any time that representatives of the Borrower or of a recipient of any part of the proceeds of the loan engaged in corrupt, fraudulent, collusive, coercive, or obstructive practices during the procurement or the implementation of the contract in question, without the Borrower having taken timely and appropriate action satisfactory to the Bank to address such practices when they occur, including by failing to inform the Bank in a timely manner at the time they knew of the practices;

c. will sanction a firm or individual, at any time, in accordance with the prevailing Bank’s sanctions procedures, including by publicly declaring such firm or individual ineligible, either indefinitely or for a stated period of time: (i) to be awarded a Bank-financed contract; and (ii) to be a nominated;

d. will require that a clause be included in bidding documents and in contracts financed by a Bank loan, requiring bidders, suppliers and contractors, and their sub-contractors, agents, personnel, consultants, service providers, or suppliers, to permit the Bank to inspect all accounts, records, and other documents relating to the submission of bids and contract performance, and to have them audited by auditors appointed by the Bank.”

6.2.3.2 Use of Positive Lists 302. Considering the urgency of the project, procurement of urgent goods and

equipment will be undertaken using the agreed upon Positive List of Goods as reflected in the Procurement Plan based on agreed list with the Bank. This procurement approach will help prevent delays in supplying the essential goods. Procurement of these goods may follow national and international shopping,




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NCB, or ICB as applicable based on quantities as being gradually assessed and quantified, as more areas are becoming accessible. To proceed, Implementing agencies identify the quantities of goods with a ceiling of USD per package, obtain the Bank’s clearance on the identified package(s), and proceed with procurement. The documents to be recorded and submitted to the Bank after procurement is complete include: (i) proof of advertisement, or request for quotation as applicable, (ii) proof of purchase (Purchase Order), and (iii) proof of payment to suppliers.

6.2.3.3 Framework Agreements 303. As an alternative to shopping or NCB, for items that required quantity may be

estimated for the next 2 or 3 year with a tolerance of +/- 25%, framework agreements (FA) may be used per paragraph 3.6 of the Procurement Guidelines for gradual delivery of goods upon demand. FA packages need to be identified in the Procurement Plans.

6.2.3.4 Commodities 304. Procurement of commodities, such as cement and fuel, must be in accordance

with paragraph 2.68 of the Procurement Guidelines. Priority commodities must be determined in response to the basic needs resulting from the emergency situation, in particular the needs of the poorest people.

6.2.3.5 Force Account 305. In emergencies, when construction firms are unlikely to bid at reasonable

prices because of the location of and risks associated with the project, Force Account for repair/reconstruction using the borrower’s own personnel and equipment or a government-owned construction unit may be the only practical method (see paragraph 3.8 of the Procurement Guidelines), provided that the borrower report to the Bank on expenditures. In this case the use of Force Account is the right method in areas where work by contractors tendered competitively is unrealistic. The Force Account work would be carried out by State Owned Enterprises (SOEs) through awarding work contracts. It is recommended for major good items needed by SOEs, to be procured under a competitive method depending on the value of the goods to be procured (ICB, LCB, NCB, and Shopping). It is important to note that Force Account delegated to military forces may not be eligible for Bank financing.




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6.2.3.6 Use of UN Agencies 306. When it is appropriate to place greater reliance on or to delegate part of

services to UN agencies, single-source selection/direct contracting may be used in accordance with paragraphs 3.9 and 3.15 of the Consultant Guidelines and paragraphs 3.7 and 3.10 of the Procurement Guidelines will be followed.

307. In this Project UN Agencies could act as a supplier of critical goods to the borrower under a Bank-financed project;

308. Several standard agreements have been developed for different UN agencies that will be used to address this situation including Standard Agreement between the Borrower and WHO.

6.2.3.7 Community Participation in Procurement 309. Under emergency conditions it could be desirable to allow for participation of

communities in rehabilitation of their own community. These include (a) call for the participation of local communities and/or nongovernmental organizations (NGOs) in civil works and the delivery of non-consulting services, or (b) increase the utilization of local know-how, goods, and materials, or (c) employ labor-intensive and other appropriate technologies, the procurement procedures, specifications, and contract packaging shall be suitably adapted to reflect these considerations, provided that these are acceptable to the Bank. When access to areas is possible for community members and an indicative list of eligible activities to be implemented are identified, a simplified procurement plan identifying the activities, cost estimate, and procurement method may be prepared and cleared by the Bank. The procurement may follow Shopping or Direct Contracting as justified on case by case basis.

6.2.4 METHODS OF PROCUREMENT OF CONSULTANTS 310. Selection of Consultants will also benefit from simplified Procurement Procedures as follow:

6.2.4.1 Single-source Selection 311. Single-source selection of consulting firms and individuals (paragraphs 3.9 (b)

and 5.6, respectively, of the Consultant Guidelines) may be used only if it presents a clear advantage over competition for the required consulting services. Firms that are already working in the country and that have a proven track record in similar assignments may be the most suitable option for the start-up activities. Consultants selected on a single-source basis may be given the right




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to participate in future assignments under the same project provided that there is no conflict of interest with the tasks performed under the initial contract. However, for future or downstream assignments, any available information must be shared with all participating firms to ensure a level playing field.

6.2.4.2 Selection of Consulting Firms through Consultants’ Qualification Selection (CQS) 312. CQS is often the appropriate method for small assignments up to USD

300,000. The selection is carried out in accordance with paragraph 3.7 of the Consultant Guidelines. In exceptional cases, when CQS needs to be followed for contracts estimated to cost more than USD 300,000, the Bank reviews and clears each case.

6.2.4.3 Consultant Shortlists 313. On an exceptional basis the Bank may clear shortlists of consultants where

fewer than six firms have expressed an interest to submit requests for proposals and where a wide geographic spread of shortlisted consultants cannot be achieved.

6.2.4.4 Request for Expression of Interest (REOI) 314. If advertising at an international or national level would impede a rapid

selection, advertising for expressions of interest may be forgone or limited to the local/provincial level for assignments with estimated cost of less than USD 200,000. The selected firm is then requested to submit simplified technical and financial proposals. For assignments that are estimated to cost less than USD 100,000, advertisement is not mandatory as long as a shortlist of at least three qualified firms is established.

6.2.4.5 Use of UN Agencies 315. When it is appropriate to place greater reliance on or to delegate part of

services to UN agencies, single-source selection/direct contracting may be used in accordance with paragraphs 3.9 and 3.15 of the Consultant Guidelines and paragraphs 3.7 and 3.10 of the Procurement Guidelines will be followed.

316. In this Project the UN Agencies could act as a provider of technical services to the Ministries.

317. Several standard agreements have been developed for different UN agencies that will be used to address this situation including Standard Agreement between the Borrower and WHO.




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6.2.4.6 Other Streamlined Approaches 318. Using a “pool of experts” or a list of “preselected” consulting firms may also

be considered as an appropriate method for supporting counterpart agencies at various steps of project execution, including the procurement process and the preparation of TOR, shortlists, RFPs, and bidding documents. Remuneration and fees may be resolved at the time of pre-selection and prescribed in a framework agreement; this is similar in concept to an Indefinite Delivery Contract.

6.2.5 PROCUREMENT THRESHOLD Table 9: Procurement threshold

Type of Contract Method of Procurement Threshold in USD Goods International Competitive Bidding (ICB) ≧1,000,000 Goods National Competitive Bidding (NCB) <1,000,000 Goods Shopping (Request for Quotation) <500,000 Works International Competitive Bidding (ICB) ≧10,000,000 Works National Competitive Bidding (NCB) <10,000,000 Works Shopping (Request for Quotation) <1,000,000 Consultants Short List of National Consultants <300,000 Consultant Selection Based on the Consultants’ Qualification

(CQS) <300,000

6.2.6 WORLD BANK'S REVIEW ON PROCUREMENT DECISIONS 319. The Procurement Plan shall set forth those contracts which shall be subject to

the Bank’s Prior review. All other contracts shall be subject to post review by the Bank. Below may be used as a guide to set the thresholds.

320. Prior Review Thresholds of Work, Goods and Non-Consultancy Contracts:

Table 10: Prior review thresholds of work, goods and non-consultancy contracts Procurement Method Prior

Review Threshold USD

Comments

1. ICB, LIB, NCB, Framework Agreement, and Shopping (Goods)

500,000 The first package of NCB and first Shopping are prior review irrespective of value.

2. ICB, NCB, Framework 5,000,000 The first package of NCB and




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Agreement and Shopping (Works) packages

first Shopping are prior review irrespective of value.

3. (Non-Consultant Services) packages including Framework Agreement

500,000 The first package is prior review irrespective of value.

4. Direct Contracting, Force Account, etc.

All All

321. Prior Review Thresholds of Consultancy Contracts:

Table 11: Prior review thresholds of consultancy contracts No Selection Method Prior

Review Threshold

(USD)

USD 100,000

1. Competitive Methods (Firms)

200,000 All TORs are subject to prior review

2. Single Source (Firms) All All TORs are subject to prior review

3. Selection of Individual Consultants

100,000 All TORs are subject to prior review

4. Single Source (Individuals)

All All TORs are subject to prior review

6.2.7 PROCUREMENT PLAN 322. The preparation of realistic procurement plans is critical for successful

monitoring and implementation. The first General (simple) Procurement Plan for the first 12 months of the Project was prepared during the Negotiations. The comprehensive plan with more details needs to be prepared based on this simple plan, and to be updated as needed (at least annually) to reflect the latest circumstances. All procurement plans and their updates or modifications are subject to the Bank’s prior review and No Objection before implementation. The cleared Procurement Plan and its updates will be published in the Bank’s external Website.

323. The information needed in the Procurement Plan as a minimum should include the following for each contract:




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324. Description of the Contract (title of the Contract and its reference number), along with plan and actual information on the estimated cost, procurement method to be used, Prior/post review requirement by the Bank, bidding start date, contract award date, and contract completion date. Plus a comment column to provide any necessary specific information.

6.2.8 PROCUREMENT RESPONSIBILITIES 325. The overall responsibility for Project coordination lies with the Iraqi Council

of Ministers through a Project Coordination Unit (PCU) under the Reconstruction Fund for Areas Affected by Terroristic Operations (RF) that the Bank will liaise with. In turn Project Management Teams (PMTs) established within counterpart Ministries will be responsible for implementation of their relevant component(s) including handling the Procurement requirements.

326. At each of the municipalities (project sites), the PMTs will be supported by Technical staff from the Ministries’ regional offices. This arrangement will also help the PMTs to make sure local context and needs are considered for procurement.

327. The four original PMTs are: (i) roads and bridges; (ii) health; (iii) electricity; and (iv) Municipalities and public works. The identification and prioritization of projects will be undertaken at the individual Ministry level, with the PMTs tasked with the responsibility for overall project management, planning and implementation of activities pertaining to their jurisdiction, and the day-to-day follow up which includes procurement. PMTs are responsible to ensure that funds are disbursed according to Bank guidelines and procedures.

328. The Procurement specialist(s) as described under 4.6 are responsible to ensure all procurement activities of the Project are carried out in accordance with the PIM, and with the WB Procurement Guidelines.




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6.2.9 MASTER IMPLEMENTATION MANNUAL (MIM) 329. The Master Implementation Manual (MIM) prepared for Iraq Trust Fund in

July 2005 was prepared to encapsulate good practice in accordance with the World Bank Guidelines. This is a very comprehensive and useful document and the provisions of this manual may be used after updated to take the points raised above (6.2.1 through 6.2.9) in consideration.

6.3 GOOD GOVERNANCE AND GOVERNANCE AND ACCOUNTABILITY ACTION PLAN

330. Overall, the financial management and procurement environment in Iraq remains weak. Levels of mismanagement, fraud, lack of transparency and corruption exist, and although anti-corruption and public sector regulations are in place, problems persist, contributing to low levels of trust in government institutions. In this context, mitigation measures for governance issues have been built in the project design in the form of strict fiduciary control mechanisms and application of Bank fiduciary rules, as well as through targeted participatory and consultative mechanisms for project activities and a focus on social accountability. The project will: (i) ensure that a dedicated procurement specialist with minimum experience in Bank policies and the ability to provide capacity building is embedded within the PCU; (ii) include in the operational manual a well-described procurement process; and (iii) as part of the annual independent evaluation, include an annual procurement audit by an external auditor. Furthermore, it should be noted, that the PMTs include fiduciary staff that have experience with Bank-financed operations. Further details on fiduciary risks are in Annex 3.

331. Similarly, transparency in scholarship distribution, support fund distribution, selection of service providers are maintained by strictly following the defined criteria and selection process. The provision of organizing communication and media campaigns, disclosure of project documents, programmes, activities, and wide participation of stakeholders in the TA and Project Management components will also contribute to maintaining and improving good governance in the project. Beneficiary feedback mechanisms will further improve accountability.

332. Activities, responsibilities and timeframe as mentioned in the GAAP will be followed in order to improve governance system in the project.




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6.4 GRIEVANCE HANDLING PROCEDURES

333. During the first six months of Project implementation, multi-level arrangements for registering and addressing grievances and complaints from project-affected people. The primary purpose of the project’s grievance redress mechanism is to provide clear and accountable means for affected persons to raise complaints and seek remedies when they believe they have been harmed by the project. An effective and responsive grievance redress mechanism also facilitates project progress by reducing the risk that unaddressed complaints eventually lead to construction delays, lengthy court procedures, or adverse public attention.

334. While the details of the project grievance redress system will be developed during the course of project implementation in consultation with relevant stakeholders, a designated person in each PMT will be assigned to be responsible for receiving and recording receipt of each complaint, whether received orally or in writing (the contact information of the person will be made publicly available prior to commencement of project implementation). At the end of each month when the project starts implementation, the designated person reports to the PMT director on the number and subject of complaints received, and the status of complaints, if any, that remain under resolution. The PMT each quarter aggregates information received into a status report, indicating the number and subject of complaints. The quarterly status report also provides up-to-date information on the number and subject of complaints that have been resolved, and the manner in which they have been resolved. The quarterly status reports are made available for external monitoring and to the World Bank for project supervision and project evaluation purposes.

335. Initially, all complaints should be registered by the PMU and the concerned implementing entity as the case maybe, which shall establish a register of resettlement/compensation related grievances and disputes mechanism. The existence and conditions of access to this register (where, when, how) shall be widely disseminated within the community/town as part of the consultation undertaken for the sub-project in general. A committee of knowledgeable persons, experienced in the subject area, shall be constituted at a local level as a Committee to handle first instance dispute/grievances. This group of mediators attempting amicable mediation/litigation in first instance will consist of the following members: (i) Head of District; (ii) Legal advisor; (iii) Local Representative within the elected Council; (iv) Head of Community Based Organization; and (v) Community leaders. This mediation committee will be




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set up at local level by the implementation agency on an “as-needed” (i.e. it will be established when a dispute arises in a given community).

336. When a grievance/dispute is recorded as per above-mentioned registration procedures, the mediation committee will be established, and mediation meetings will be organized with interested parties. Minutes of meetings will be recorded. The existence of this first instance mechanism will be widely disseminated to the affected people as part of the consultation undertaken for the sub-project in general. It is important that these mediation committees be set up as soon as RAP preparation starts. Disputes documented e.g. through socio-economic surveys should be dealt with by appropriate mediation mechanisms which must be available to cater for claims, disputes and grievances at this early stage. A template form for claims should be developed and these forms be collated on a quarterly basis into a database held at project level.

6.4.1 RIGHT OF APPEAL AND ALTERNATIVE MECHANISMS 337. As per the World Bank requirements, if any individual/household from the

targeted communities is affected by the project, there should be a clear system and process put in place, by which affected individuals/communities can lodge grievances and the response process to these grievances. During project preparation it was agreed with consulted parties that if any person or group feels aggrieved by the project, the following 3-level procedure should be followed:

338. Level 1: A grievance note should be submitted to a PMT CE focal point. This may be through the SOE or directly to the PMT. The grievance note should include the following information:

• The time and date of the incidence. • A description of the event and how the individual/household/group was/were

negatively affected by the incidence. • Names of entities’ officials or community members who can give details on

the incident in support of the grievance note. • The grievance will be dealt with either through the PMT Project Manager,

who will evaluate the complaint and work with the concerned party to remediate the issue.

339. Level 2: If the problem is not resolved at Level 1, the grievance note should be transferred to the PCU CE specialist through the PMT Project Manager. The PCU CE specialist should then meet to discuss the note and take the necessary actions to resolve the conflict. The PCU CE specialist decision should be




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communicated back to the affected individual/group through the PMT focal point.

340. Level 3: If the conflict is not resolved through the PCU CE specialist, or the affected person/group is unsatisfied with the feedback received, the petitioner/s should contact the relevant governor or mayor’s office. If these are unable to resolve the conflict/problem, they will write an official letter to World Bank.

341. Resolution options should be developed to be commensurate with the nature of grievances. General approaches to grievance resolution may include proposing a solution 1) unilaterally (the company proposes a solution); 2) bilaterally (the company and the complainant reach a resolution through discussion or negotiation); 3) through a third party (either informally or formally through mediation); or 4) through traditional and customary practices.

342. Resolution of grievances caused by a one-off breach of environmental standards, or by a single incident, will differ significantly from complex and repetitive community grievances. More complex and controversial issues, especially those raised by large groups of people, will in all likelihood involve overlapping issues, with no single point of origin or obvious solution. Resolution of these issues may benefit from access to independent bodies that can provide the credibility that comes with impartiality—and can foster dialogue and collaboration between companies and affected communities as they undertake the often lengthy process of exploring resolution options.

343. Even within the same project, approaches to resolving grievances of various types should be different, depending on the nature of the issue, frequency of occurrence, and the number of complainants. A grievance mechanism document should be prepared that will enable the PMT CE focal points to follow a precedence of solutions rather than arbitrarily decide how to solve the grievance. However, this document would not be prescriptive, rather than prescribe a specific procedure for each particular type of complaint; it should be helpful guide to a list of possible options appropriate for different types of grievances, so that company personnel and community members have models for action when a dispute arises. Options include altering or halting harmful activities or restricting their timing and scope, providing monetary compensation, providing an apology, replacing lost property, revising community engagement strategy, and renegotiating existing commitments or policy.




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6.5 ENVIRONMENTAL AND SOCIAL RISK MANAGEMENT

344. Environmental and social risk is substantial: The sheer financial volume and physical dimensions of the project have the potential to cause adverse environmental and social impacts albeit mitigated by the expected partition of the investments in a large number of smaller increments. The disaggregated environmental risk is moderate, as all investments are expected to be implemented on existing physical footprints, mainly reconstruction and rehabilitation activities. The risks associated with involuntary resettlement and livelihood restoration are substantial. These issues will be managed with standard safeguards instruments (an ESMF and RPF for overall guidance, and sub-project specific ESMPs and ARAPs) which will be produced during the first months of the implementation phase. The key social risk is associated with the activities planned under the housing sector and are associated with: (i) creating equitable, just access to the project’s benefits; (ii) dealing with unclear titling, informal uses and proxy owners; (iii) avoiding negative unintended consequences (e.g. rapid increases of rents); and (iv) creating the capacities and resources to manage the substantial transaction efforts to implement this sectoral component. The mitigation measures for the latter risk will include targeted TA activities which will be deployed during the first two years of project implementation. The TA will aim to build on existing mechanisms in housing provision and repair to strengthen management capacity for data collection, inventory, damage assessment, design, construction supervision, financial management, and verification.




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SECTION VII: ENVIRONMENT AND SOCIAL SAFEGUARD

345. The responsibility for the implementation of the above described safeguards instruments and processes will be with the PMTs (project management teams) working under the PCU, who will be responsible for compliance with domestic environmental regulations, as well as the Banks E&S safeguards policies. The PMTs and the PCU will be staffed with qualified environmental and social specialists that will follow-up with the preparation and implementation of the safeguards instruments.

346. The World Bank Task Team will be responsible for ensuring the timely commencement of the preparation of Environmental and Social Framework (ESMF), Resettlement Policy Framework (RPF), Environment and Social Management Plans (ESMPs) and as the case may be the limited Environment and Social Impact Assessment (ESIAs) or RAPs/ ARAPs as needed. The task team will ensure that no contracts for works that have a physical impact are signed, or re-construction or rehabilitation of proposed activities initiated without the required safeguards instruments in place.

347. The Task Team will also review ToRs (if required) as well as the ESMF, RPF, ESMPs and limited ESIAs or RAPs/ARAPs if needed, to ensure that their scope and quality are satisfactory to the Bank, will review tender documents and construction contracts regarding due consideration of the safeguards instruments, and the inclusion of effective and enforceable contractual clauses. Finally, the task team will also monitor the implementation of the different prepared instruments through regular supervision missions (which will include an environmental and/or social specialist) during which document reviews, site visits and spot-checks will be conducted. Depending on the circumstances (especially the security situation), Third Party Monitoring will also be used for supervision and monitoring and would thus complement the efforts of the task team.

7.1 ENVIRONMENTAL SAFEGUARDS

348. The PMTs (project management teams) working under the overall Program Coordination Unit, must ensure that all proposed subprojects or activities under the Project are environmentally sound and socially responsive. Since environmental and social impacts of subprojects under this Project may vary in their extent, magnitude and duration as per the nature and scale of the subproject and its location, the potential subprojects to be financed shall require proper screening and assessment against the set environmental and social




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criteria, which will determine the extent and type of environmental and social assessment needed and mitigation measures to be included appropriately.

7.1.1 SEQUENCING AND TENTATIVE IMPLEMENTATION SCHEDULE FOR SAFEGUARDS PROCESSING 349. A schematic representation of the safeguards framework is depicted in Figure

3 below:

Figure 3: Scheme of safeguards approach and instruments for EISRP 350. As a general principle, the implementing agencies will agree to apply the

following minimum standards during implementation: (1) inclusion of standard Environmental Codes of Practice (ECOP) (Attachment 4) in the bid documents for rehabilitation, improvement and reconstruction activities for all subprojects; (2) review and oversight of any major reconstruction works by specialists; (3) implementation of environmentally and socially sound options for disposal of any hazardous waste (e.g. medical waste, debris or drain spoils, oil-contaminated soils or rubble); and (4) provisions for adequate and satisfactory budget and institutional arrangements for monitoring effective implementation.

351. The following time-bound deployment of the above described safeguards instruments is anticipated to manage and mitigate the potential adverse impacts:




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a. During project preparation a conceptual approach and draft TOR for an ESMF will be prepared and shared with the Client, to be able to swiftly initiate the preparation of this safeguards instrument after project effectiveness.

b. Immediately after project effectiveness, during the first 3 months of implementation: Start of development of an ESMF and RPF, which will be the overarching safeguards document governing approach, processes and specific instruments for sub-projects. The ESMF will cover the following topics: (i) scope of project activities; (ii) typologies of expected impacts, as well as magnitudes and durations; (iii) types of E&S assessment / management instruments, including the range of mitigation measures, tailored to the identified sub-project / impact typologies; (iv) methodology for sub-project E&S screening, classification and allocation of specific E&S instruments; (v) review of relevant institutions, key players, roles and responsibilities and administrative processes; (vi) capacity analysis and training requirements; (vii) update of cost estimates for E&S management measures. The ESMF will also contain a positive and negative list of eligible / non-eligible subprojects, and make reference to the handling of explosive remnants of war (EWR), including the required screening, surveys and EDO (explosive ordnance disposal) organization. The RPF will cover the following topics: (i) a brief description of project activities; (ii) Principles and objectives governing resettlement preparation and implementation; (iii) a description of the process for preparing and approving resettlement plans; (iv) Eligibility criteria and estimated resettlement impacts; (v) legal framework; (vi) methods of valuing affected assets; (vii) institutional arrangements of resettlement planning and implementation; (viii) Grievance redress mechanism; (ix) Consultation; and (x) Arrangements for monitoring and evaluation.

c. During implementation phase, from month 3 onwards: Continuous development of E&S management instruments for the expected typologies, e.g. repair / reconstruction of housing, roads, transmission lines, municipal infrastructure, as well as the restoration of public services. For the expected scope of subprojects freestanding, comprehensive ESIAs will be mostly not be required, as all structures and installations will have existed before, and the project would only finance their repair, reconstruction or reinstatement. The expected typologies, e.g. repair / reconstruction of housing, roads, transmission lines, municipal infrastructure, as well as the restoration of public services would mostly require simple, checklist-type ESMPs (E&S management plans) that would become part of the works contracts, set the




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E&S standards and compliance mechanisms, an serve as contractual basis for supervision and enforcement of good E&S practice during the works. Comprehensive ESIAs will be not be required, as the structures and installations are existing, and the project would only finance their repair, reconstruction or reinstatement.

d. For some larger projects, e.g. bridge reconstruction, a limited ESIA may be required, which would be integrated into an expanded ESMP, as the works would be more substantial in scale, and rivers may be more sensitive and vulnerable to environmental impacts, which would be integrated into the ESMP. Also the ESMPs would be more specific on measures to protect water quality, riverine / aquatic ecosystems, and retain the hydrological regime around the bridge. Also, additional social considerations, such as continued access to the river for fishing and water abstraction, may become relevant. Similarly, the procurement, installation and operation of mobile hospitals, while pre-existing health facilities are restored, would require a different focus and additional provisions in the ESMPs. Specifically, ESMPs for mobile hospitals would need to take operational aspects into account, ranging from wastewater and sewage treatment and disposal to the specific requirements for safe collection, handling, storage and treatment / disposal of medical waste. This latter requirement would be addressed via a separate medical waste management plan (MWMP). Also due to the additional footprint of mobile hospitals, even if only temporarily, land acquisition may become an issues, which would be covered by the RPF prepared for this project, and - if required - specific RAPs for mobile hospital sub-projects

e. In parallel with the sub-project ESMPs: Linked to the ESMF is the risk of UXO (unexploded ordnance) and ERW (explosive remnants of war) in the project areas. As the project will be implemented in areas recently liberated from ISIL rule, and as the liberation often took place with considerable combat activities, the presence of UXO and ERW is a certainty. Thus, all project areas will undergo a screening (technical survey) for UXO / ERW prior to any works, be it relating to damaged buildings, rubble, or any works below natural ground level. This survey will collect and analyze data, using appropriate technical interventions, about the presence, type, distribution and surrounding environment of mine / ERW contamination, in order to define better where mine / ERW contamination is present, and where it is not, and to support decision making processes through the provision of evidence. Depending on the screening results, EOD (explosive ordnance disposal)




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measures will be organized, as an integral part of the rubble removal contracts.

352. Preparation time for safeguards instruments, including Bank review,

revisions, clearance, and approval steps. The preparation of the ESMF and RPF is estimated to require a time period of about 2 - 3 months, including Bank review and approval, disclosure, consultations and finalization. The preparation of limited ESIAs as the case maybe, and the ESMPs, as well as RAP/ARAP if needed, will range from 1 to 3 months including Bank review and approval, disclosure, consultations and finalization.

353. Consultations and Disclosure. The ESMF and RPF will be disclosed in-country and at the info shop after Bank review as final draft versions, for a period no less than 30 days, during which the Client will organize consultations for the affected stakeholders. The consultation mechanism for the sub-project specific ESMPs and limited ESIAs, as well RAP/ARAP if need, will be designed with appropriate depth and breadth depending on the specific situation’s complexity and dimensions. For some sectors, e.g. housing reconstruction, consultations will be extensive, possibly require several stages, and will be an integral part of design. For some large structures, e.g. bridge reconstruction, or the rebuilding of important public assets (e.g. schools) disclosure and consultations will follow the standard approach for typical Cat B projects, with ca. 15-30 day time windows between disclosure and consultations, to be undertaken before design finalization. For smaller works, such as the repair of rods, transmission lines or the water and sewage network, consultation swill be for portfolios of multiple projects, based on large scale planning documents and generic E&S sample instruments.

354. Implementation of safeguards instruments, if applicable, development of secondary instruments (e.g., subproject ESMPs or RAPs to be developed, by whom and by when). After finalization of the ESMPs, no further safeguards instruments will be required. The checklist-format ESMPs / ARAPs will be customized to specific construction projects and become part of the tender and contract documents. No tender package will be issued without an attached ESMP and no contract signed without respective clauses obliging the Contractor to the ESMPs use and implementation. Figure 4 below gives a schematic overview how safeguards instruments will be matched with baseline conditions and project typologies:




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Figure 4: Approach for determination of appropriate safeguards instruments 355. In sub-project processing the following sequence of actions would be

foreseen:

1) Sub-project identification and selection of safeguards instrument: All prospective subprojects first go through a screening process. The screening involves: (i) checking that the activity is permissible (as per the legal and regulatory requirements of the project); and (ii) determining the level of environmental assessment that the subproject requires based on the level of expected impacts. The PMT’s E&S specialists screen sub-project and determine the appropriate specific safeguards instrument, using the ESMF as guidance. The WBG task team confirms the proposed instrument. The choice would either be an abbreviated ESMP (“checklist ESMP”), a full ESMP with an ESIA component, or a full ESIA. Section 7 provides general guidance on the scope of instruments and their selection criteria.

2) Safeguards preparation: Once the safeguards instrument is selected, three possible scenarios may apply: a) In case a checklist ESMP is determined, the PMT supplies the

Contractors / Engineers with the form and explains its completion and processing. Also the ESMP will be shared with directly affected stakeholders, such as local residents or businesses. The PMT checks the filled forms and the completion of the consultation process, and the WBG task team reviews and confirms, before the green light for works is given.




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b) If a full ESMP or ESIA is chosen, the PMT prepares the TOR (a samples are given in the ESMF), and the WBG TT reviews and approves. Thereafter the PMT leads the procurement and selection of a qualified Consultant, again with the WBG TT reviewing and approving. An advanced draft of the ESMP will be shared with directly affected stakeholders, such as local residents or businesses, before finalization and implementation, and before any physical works may commence.

c) In the case of an ESIA being selected as safeguards instrument, the document will additionally have to undergo the review and revision cycle typical for WBG financed projects, will require WBG TT and SA (safeguards adviser) approval before finalization, and will have to be consulted with the public.

3) Contractual provisions: PMTs will ensure that the E&S safeguards instruments are duly referenced in the works contracts, and clear, specific, unambiguous clauses introduced to oblige Contractors to adhere to all subproject-specific E&S provisions, as well as overall good housekeeping practice. The contracts also will contain a system of remedies and penalties to enforce the contract, and insist on proper E&S management in case of non-compliance.

4) Sub-project implementation: In both above scenarios the PMT supervises

the implementation of the safeguards instruments, and the due completion of contractual environmental and social obligations by the Contractor. WBG TT and / or TPMA will review and check a significant sample of the subproject portfolio (at least 20%) for compliance with ESMF, the selected safeguards instrument, and overall WBG policy and good international practice.

5) Sub-project completion: Before signing of the handover certificates and

approval of final payment certificates, the PMT’s E&S specialists will review all E&S documentation and conduct a walkover survey at the sites, verifying that due diligence has been applied and the provisions of the selected safeguards instrument followed. Again, WBG TT and / or TPMA will review and check a significant sample of the subproject portfolio (at least 20%) for compliance with ESMF, the selected safeguards instrument, and overall WBG policy and good international practice.

356. Documentation: The following safeguards-related documentation should, as a

minimum, be kept on file for each subproject: (a) a brief note on selection of




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safeguards instrument, including criteria and justification (using the ESMF guidance); (b) completed final safeguards instrument; (c) consultation records; (d) the contractual clauses relating to safeguards adherence; (e) a completion note by the PMT, after signing of handover certificate.

7.2 SOCIAL SAFEGUARDS

357. The project will be implemented in urban agglomerations of Tikrit, Dour, Al-Alam and Al Dalooeyya located in the Salah Al-Din Governorate as well as urban agglomerations of Jalula, As-Sadiya and Al-AAzeem located in Diyala Governorate. In addition, suburban areas, villages and infrastructure across open range land may also be included for project-financed activities.

358. The common feature for all project interventions is the strict adherence to pre-existing footprints of buildings, structures and linear infrastructure, which was damaged or destroyed during combat activities when ISIS moved into the areas, and was pushed out again, and vandalism, sabotage, and retribution acts during ISISs occupation.

359. Given the nature of the project and its geographical distribution, it is classified as Category B project and is expected to have some environmental and social impacts. The key social risk is associated with the activities planned under the housing sector and are associated with (i) creating equitable, just access to the project’s benefits; (ii) dealing with unclear titling, informal uses and proxy owners; (iii) avoiding negative unintended consequences, e.g. rapid increases of rents; and (iv) creating the capacities and resources to manage the substantial transaction efforts to implement this sectoral component. In addition, there is a small possibility that reconstruction works may temporarily affect access to livelihoods or residences, or require temporary use of private land.

360. To mitigate the adverse environmental and social impacts and to manage the potential social risks, an Environmental and Social Management Framework (ESMF) and a Resettlement Policy Framework (RPF) have been prepared in compliance with relevant safeguards policies of the World Bank (OP 4.01 on Environmental Assessment, OP 4.12 on Involuntary Resettlement, and OP 4.11 on Physical Cultural Resources) and relevant laws and regulations of Iraq.

361. In case of any project activities resulting in loss of income (due to damage to crops), prevent access to amenities or physically displace people (most unlikely), Resettlement Action Plans (RAPs) or Abbreviated Resettlement Action Plans (ARAP) for the activities will need to be prepared.




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362. The overall responsibility for preparation of the RAP or ARAP will rest with the PMT of line ministries. The PMT within the ministry will: a) be responsible for the routine management of the consultant’s recruitment to prepare the RAPs/ARAPs; b) assign expert from the Ministries’ environmental, social and legal specialists to support this work, and c) provide information required by the consultants. The procedures and process for RAP/ARAP preparation are the following:

a. Social Screening

363. Once the location of sub-projects is determined, PMT and the consultants will obtain all permits/approvals related to the construction activities. Thereafter, the social development specialist of PMT will cooperate with relevant authorities to carry out social screening to determine whether or not the subprojects will result in any resettlement impact and accordingly PMT will decide the need for the preparation of a resettlement action plan or an abbreviated Resettlement Action Plan.

b. Preparation of Socio-Economic and Inventory Survey

364. Based on the findings and results of the project social screening, PMT and the consultants will carry out a socio-economic study and census survey, in which baseline data within the project sites is collected. This information shall include the PAPs and related household members or dependents, total land holdings, and affected assets amongst other things. This information will be put in writing and shall be used in determining the appropriate compensation and assistance for each affected individual / household.

c. Preparation of Resettlement Action Plans

365. Any subproject that shall entail the acquisition of land or may result in the involuntary resettlement of people or loss or restriction of access to private or communal resources will require the preparation of a RAP or abbreviated RAP depending on the number of people affected or the significance of the resettlement impacts.

366. The RAP should assess the number of PAPs, propose alternative locations for the sub-projects if possible, identify the eligibility criteria, include provisions for compensation and assistance, and address the means by which the sub-project monitoring and evaluation will take place to ensure that the PAPs receive their compensation and that their grievances are heard and addressed. The mitigation measures and compensation policies proposed in the RAP shall be disclosed to the PAPs for feedback and comments.




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367. More specifically, the RAP should include:

• A description of the sub-project • Identification of potential impacts • Objectives of RAP • Relevant findings of the socio-economic study • Legal framework • Institutional framework • Eligibility criteria and eligible PAPs • Valuation and compensation for losses • Resettlement measures • Site selection, site preparation, and relocation • Housing, infrastructure, and social services • Environmental protection and management • Community participation • Integration with host populations • Grievance procedures • Organizational responsibilities • Implementation schedule • Costs and budget • Monitoring and evaluation

368. If less than 200 PAPs are affected, or if all the PAPs suffer only minor impacts (i.e., lose less than 10 percent of their income producing assets), and the subproject does not involve any physical displacement, then an abbreviated plan (ARAP) should be prepared. An ARAP should include:

• A census survey of displaced persons and valuation of assets • A description of compensation and other resettlement assistance to be

provided and the basis of compensation rates • Consultations with displaced people about acceptable alternatives • Institutional responsibility for implementation and procedures for

grievance redress • Arrangements for monitoring and implementation • A timetable and budget




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d. RAP Review and Approval

369. The RAP, including the proposed mitigation measures within the plan, will need to be reviewed by the technical team as well as environmental and social team and approved by PMT Head then will be sent to the WB for final review and approval.

e. RAP Implementation

370. Once the RAP is approved by the Bank, it will be translated into Arabic and disclosed locally as well as in Info Shop at the Bank. The PMT and relevant authorities are responsible for implementation of the RAP.




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ANNEXES:

ANNEX 1: PROJECT APPRAISAL DOCUMENT

ANNEX 2: LOAN AGREMEENT (EMERGENCY OPERATION FOR DEVELOPMENT PROJECT)

ANNEX 3: DISBURSEMENT LETTER

ANNEX 4: ENVIRONEMTAL AND SOCIAL ACTION PLAN

ANNEX 5: ENVIRONEMTAL AND SOCIAL IMPACT ASSESSMENT FRAMEWORK

ANNEX 6: SIMPLIFIED (‘CHECKLIST”) ENVIRONEMTAL AND SOCIAL MANAGEMENT PLAN

ANNEX 7: ENVIRONEMTAL AND SOCIAL MAANGEMENT PLAN

ANNEX 8: RESETTLEMENT POLICY FRAMEWORK

ANNEX 9: RESETTLEMENT ACTION PLAN

ANNEX 10: PROCUREMENT PLAN

ANNEX 11: STANDARD BIDDING DOCUMENT FOR WORKS

ANNEX 12: STANDARD BIDDING DOCUMENT FOR GOODS




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