The World Bank Report No: ISR15614 Implementation Status & Results Nepal Urban Governance and Development Program: Emerging Towns Project (P120265) Public Disclosure Copy Operation Name: Urban Governance and Development Program: Emerging Project Stage: Implementation Seq.No: 9 Status: ARCHIVED Archive Date: 10-Aug-2014 Towns Project (P120265) Country: Nepal Approval FY: 2011 Product Line: IBRD/IDA Region: SOUTH ASIA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Key Dates Board Approval Date 10-May-2011 Original Closing Date 31-Jul-2016 Planned Mid Term Review Date 03-Mar-2014 Last Archived ISR Date 10-May-2014 Effectiveness Date 02-Oct-2011 Revised Closing Date 31-Jul-2016 Actual Mid Term Review Date 19-Mar-2014 Project Development Objectives Project Development Objective (from Project Appraisal Document) The revised PDO is "to improve the capacity of the participating municipalities to plan, implement and fund urban development activities". Has the Project Development Objective been changed since Board Approval of the Project? ● Yes No Component(s) Component Name Component Cost Strengthening Municipal Planning Capacity for Urban Development 5.00 Capacity Building for Municipal Infrastructure Development 23.50 Institutional Development 6.62 Overall Ratings Previous Rating Current Rating Public Disclosure Copy Progress towards achievement of PDO Moderately Unsatisfactory Moderately Unsatisfactory Overall Implementation Progress (IP) Moderately Unsatisfactory Moderately Unsatisfactory Overall Risk Rating Substantial Substantial Implementation Status Overview The project has continued to make implementation progress, and PDO indicator targets for FY14 have been achieved, or are on track. However, if not addressed in a timely manner, delays in the completion of priority actions agreed during the Mid-Term Review (e.g., award of contracts for the remaining eight municipal sub-projects, recruitment of Municipal Support Team, and selection of consultants to develop municipal billing software) will negatively affect the likelihood of achieving the PDO. Page 1 of 6 The World Bank Report No: ISR15614 Locations Country First Administrative Division Location Planned Actual Nepal Eastern Region Sunsari Public Disclosure Copy Nepal Western Region Palpa Nepal Western Region Kaski Nepal Eastern Region Jhapa Nepal Eastern Region Dhankuta Nepal Western Region Baglung Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Total number of people benefited from urban Number Value 0.00 49422.00 100000.00 services and infrastructure improvements, of Date 03-Oct-2011 30-Jun-2014 31-Jul-2016 which females and from disadvantaged groups. Comments Target for Year 3 is expected to be achieved. Total number of female beneficiaries Percentage Value 0.00 48.00 10.00 Sub Type Supplemental Total number of beneficiaries from Percentage Value 0.00 50.00 10.00 disadvantage groups Sub Type Supplemental Number of participating municipalities with Number Value 0.00 3.00 6.00 funded investment and O&M Plans Date 03-Jun-2013 30-Jun-2014 30-Jun-2016 Public Disclosure Copy Comments Three municipalities have approved Revenue Enhancement Plans, O&M Plans and Investment Plans and included performance targets in the FY15 budget. Page 2 of 6 The World Bank Report No: ISR15614 Municipal sub-projects under implementation Percentage Value 0.00 80.00 90.00 with construction works on track as per the Date 03-Jun-2013 30-Jun-2014 30-Jun-2016 signed contract Comments Target for Year 3 has been Public Disclosure Copy achieved. Five sub projects are under implementation. Four sub-projects are on track and one sub-project is behind the schedule. Increase in municipal own source revenues in Percentage Value 15.00 36.00 25.00 the participating municipalities. Date 03-Oct-2011 30-Jun-2014 30-Jun-2016 Comments Indicator expected to exceed target based on progress in the first ten months of the FY. Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Municipal grant allocated to programs targeting Percentage Value 0.00 34.00 35.00 women, children and disadvantaged groups Date 03-Oct-2011 30-Jun-2014 31-Jul-2016 Comments Indicator for FY 13/14 is slightly below target. Number of municipalities submitting Number Value 0.00 6.00 6.00 satisfactory annual plans for the municipal Date 03-Jun-2013 30-Jun-2014 31-Jul-2016 block grants to the MoUD by August 15 (one Comments Target achieved for FY 13/14. month after the start of the Fiscal Year) All six municipalities submitted annual plans to the PCO for FY 2013/14 municipal block grant by August 15, 2013. Number municipalities submitting satisfactory Number Value 0.00 6.00 6.00 annual progress reports to MoUD for the Date 03-Jun-2013 30-Jun-2014 31-Jul-2016 Public Disclosure Copy municipal block grants by September15 (two Comments Target Achieved for FY 12/13. months after the end of the Fiscal Year) All six municipalities submitted progress reports to PCO for activities funded with the FY 2012/13 municipal block grant by September 15, 2013. Page 3 of 6 The World Bank Report No: ISR15614 Number of municipal infrastructure sub-projects Number Value 0.00 16.00 18.00 successfully appraised and ready for bidding (i. Date 03-Oct-2011 30-Jun-2014 31-Jul-2016 e. bidding notice published) Comments Target exceeded for FY Public Disclosure Copy 13/14. 16 bid invitation notices published in FY 13/14. The total number of municipal sub-projects has been reduced from 18 to 16 because two sub-projects were consolidated at the bidding stage and one sub- project has been dropped. Percentage of funds for municipal sub-projects Percentage Value 0.00 7.90 100.00 disbursed. Date 03-Oct-2011 30-Jun-2014 31-Jul-2016 Comments The target for FY 13/14 will not be met because of delays with contract signing. TDF’s collection ratio meet prescribed Percentage Value 75.00 84.00 90.00 thresholds Date 03-Oct-2011 30-Jun-2014 31-Jul-2016 Comments Target of 80% for FY 13/14 is expected to be met. Standard project appraisal systems established Text Value No Yes Yes and applied to all ETP sub-projects. Date 02-Oct-2011 30-Jun-2014 31-Jul-2016 Comments Target for FY 13/14 has been met. Number of municipalities that have developed Number Value 0.00 0.00 6.00 and approved planning norms and building Date 03-Oct-2011 30-Jun-2014 31-Jul-2016 byelaws based on the guidelines by MoUD Comments Target for FY 13/14 has not been met. DUDBC has prepared model bye-laws for Public Disclosure Copy municipalities; specific bye- laws have been drafted forTansen, Mechinagar and Dhankuta municipalities. Approval of bye-laws by the municipal council is expected by December 2014. Page 4 of 6 The World Bank Report No: ISR15614 Policy guidelines and procedures for Text Value No No Yes (implemented) municipalities on governance and budget Date 03-Oct-2011 30-Jun-2014 31-Jul-2016 planning updated and implemented by Comments Target for FY 13/14 will not be MoFALD Public Disclosure Copy met. The preparation of ToR has been delayed. Policy guidelines and procedures for Text Value No No Yes (implemented) municipalities on physical planning and Date 03-Oct-2011 30-Jun-2014 30-Jul-2016 infrastructure development developed/ updated Comments Target for FY 13/14 expected and implemented by MoUD to be met. Preparation of the policy document is at an advanced stage and is expected to be completed by end of July 2014. Data on Financial Performance (as of 18-Jun-2014) Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P120265 IDA-49050 Effective 10-May-2011 30-Jun-2011 02-Oct-2011 31-Jul-2016 31-Jul-2016 P120265 IDA-H6610 Effective 10-May-2011 30-Jun-2011 02-Oct-2011 31-Jul-2016 31-Jul-2016 Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P120265 IDA-49050 Effective XDR 8.80 4.61 4.19 2.09 2.52 45.00 P120265 IDA-H6610 Effective XDR 7.20 7.20 0.00 3.26 3.94 45.00 Disbursement Graph Public Disclosure Copy Page 5 of 6 The World Bank Report No: ISR15614 Public Disclosure Copy Key Decisions Regarding Implementation - Restructuring History Level two Approved on 22-Feb-2013, Level 1 Board/AOB Decision on 19-Jul-2013 Related Projects There are no related projects. Public Disclosure Copy Page 6 of 6