The World Bank Report No: ISR13563 Implementation Status & Results Chile Ministry of Public Works Institutional Strengthening TAL (P102931) Public Disclosure Copy Operation Name: Ministry of Public Works Institutional Strengthening TAL Project Stage: Implementation Seq.No: 14 Status: ARCHIVED Archive Date: 10-Feb-2014 (P102931) Country: Chile Approval FY: 2007 Product Line: IBRD/IDA Region: LATIN AMERICA AND CARIBBEAN Lending Instrument: Technical Assistance Loan Implementing Agency(ies): Key Dates Board Approval Date 14-Jun-2007 Original Closing Date 31-Jan-2013 Planned Mid Term Review Date 08-Jun-2011 Last Archived ISR Date 04-Jan-2014 Effectiveness Date 27-Feb-2008 Revised Closing Date 31-Jan-2014 Actual Mid Term Review Date 08-Aug-2011 Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective is to assist the Government in achieving a sustainable and integrated approach to the planning of infrastructure; levels of service standards for infrastructure as well as model contracts and procedures that promote competition and assign risks appropriately; an integrated project management process; a regulatory framework for all of MOPW#s sectors of responsibility that increases consumer confidence in infrastructure service provision; and the legal and organizational separation of the areas of planning, contracting, execution and regulation of infrastructure provision. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Integrated Planning 4.10 Standards, Contracts and Competition 3.25 Integrated Project Management 0.75 Public Disclosure Copy Regulatory Strengthening 1.40 Organizational Reform 1.90 Audit and additional activities 0.30 Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Page 1 of 6 The World Bank Report No: ISR13563 Implementation Status Overview The project development continues to deliver its objectives. The authorities of the Ministry of Public Works and the Project Implementation Unit expressed their utmost support to the program, that enjoys a strong endorsement at all levels of the Ministry's organization. Moreover, the Undersecretary of Public Works is strongly committed with the project and acknowledged the profound impact that it has at all levels of the Ministry's organization. Another key factor for the current positive development trend is the leadership of the PIU Public Disclosure Copy within the Ministry's structures as well as the effective personal leadership showed by the project manager appointed on 2012. Locations No Location data has been entered Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Increased return of infrastructure projects due Text Value 0% to the new planning methodology Date 31-Dec-2013 31-Jan-2014 Comments Indicator was changed in 2009 Greater competition in bidding supported by Text Value fair risk-sharing arrangements embedded in Date 31-Dec-2013 31-Jan-2014 contracts and consumer-responsive service Comments See Key Issues and Actions targets for Management Attention Greater responsiveness to consumer concerns Text Value Service standards defined for Service standards defined for related to levels of service; and greater 13 types of infrastructures 13 types of infrastructure oversight of performance by public sector Date 31-Dec-2013 31-Jan-2014 service providers as well as concessionaires Comments See attached excel file with a See Key Issues and Actions description of the activities for Management Attention and a definition of the infrastructures Normative and organizational structure that Text Value Public Disclosure Copy provides clear separation and definition of roles Date 30-Jun-2013 31-Jan-2014 and responsibilities for planning, contracting, Comments See Key Issues and Actions works execution and oversight. for Management Attention Reduction in variance between values Text Value eduction of 15% in the established at contract signature and final variance of cost deviations. values at project execution Measured against baseline that will include only projects under integrated project management Date 30-Jun-2013 31-Jan-2014 Page 2 of 6 The World Bank Report No: ISR13563 Comments No information provided for See attached document 2013 discussing some issues and possible solutions for PDO and intermediate result Public Disclosure Copy indicators. Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Share of projects approved based on new Text Value 0% 25% of projects that initiate a integrated planning methodology. phase of the project cycle (from prefeasibility to execution) adopted/initiated based on new planning methodology Date 29-Jun-2007 30-Jun-2013 31-Jan-2014 Comments A new planning methodology See Key Issues and Actions is a key feature of the for Management Attention Modernization Program of the Ministry of PUblic Works Identify, define and adopt service quality Text Value 0% Service standards defined for standards in a wide set of works typologies 9 typology of works under the under the responsibility of the MOPW jurisdiction of MOPW Date 29-Jun-2007 30-Jun-2013 31-Jan-2014 Comments Identification of service quality See Key Issues and Actions attributes relevant, indicators for Management Attention and standards of service in the following 13 types of works (Airport Concession, Concession Road Works; jail concession; Lakeside Connectivity Project, Maritime and Fluvial Isolated Areas, Public Disclosure Copy Buildings MOP, Storm water; Rural Water, hospital). Standards included in performance based road maintenance contracts Number of concession contracts under the Text Value 0 7 contracts include, from jurisdiction of the MOPW that incorporate bidding stage, explicit service (explicitly) quality standards standards Date 26-Oct-2009 30-Jun-2013 31-Jan-2014 Page 3 of 6 The World Bank Report No: ISR13563 Comments 7 contracts in total – 2 See Key Issues and Actions contracts added in 2012 for Management Attention (inclusion of quality standards in bidding of Calama and Public Disclosure Copy Antofagasta airports) More competition in biddings to be reached by Text Value Bidding documents and firms 80% of contracts signed by (i) improvements in bidders registry and consultants registry MOPW during the year 2012 (reglamento de obras y consultoria) and (ii) currently in use by MOPW using new bidding improved standard bidding documents documents. A third party, independent of MOPW to conduct an assessment of the impact of new bidding documents and improved "registro de contratistas" on intensity of competition Date 31-Dec-2007 30-Jun-2013 31-Jan-2014 Comments Proposal to change See Key Issues and Actions contractors registry for Management Attention elaborated and under review by MOPW authorities. No progress in improved standard bidding documents Reduction in the variance of the difference Text Value No baseline available Reduction of 15% in the between costs forecasted when contract is variance of cost deviations. signed and actual cost of works Measured against baseline that will include only projects under integrated project management Date 26-Oct-2009 30-Jun-2013 31-Jan-2014 Comments Consulting firm being hired to No information provided for See Key Issues and Actions prepare baseline. Note that 2013 for Management Attention more than 60 projects currently under integrated Public Disclosure Copy project management. A normative and organizational framework in Text Value MOPW does not have an Following laws approved by place that provides for clear separation of roles internal organization law that Congress: (i) New and responsibilities separates the roles of organizational structure of planning, implementation and MOPW (ii) New concessions supervision law (iii) Law that creates the Superintendency of Public Works Date 26-Oct-2009 30-Jun-2013 31-Dec-2013 Page 4 of 6 The World Bank Report No: ISR13563 Comments Concession law approved as See Key Issues and Actions Law 20410 (January 2010). for Management Attention Law that creates the Superintendency in Congress Public Disclosure Copy but not a priority for current administration Reduction of variance of construction time Percentage Value 19.00 15.00 between time envisaged when contract is Date 30-Jun-2013 31-Jan-2013 signed and actual construction time Comments 19% time reduction to the % reduction in indicator projects implemented using (variance). the new methodology (GIP) See attached document finished in year 2011. There is discussing some issues and no update for 2013 possible solutions for PDO and intermediate result indicators. Regulatory oversight system in place to be Text Value No regulatory oversight Regulatory oversight system used by entity independent of planning and system by an independent and mechanisms in place for execution divisionos of MOPW agency in place (currently the following sectors: aiports done in house by MOPW concessions and inter and personnel) urban roads concessions. Date 26-Oct-2009 30-Jun-2013 31-Jan-2013 Comments Implementation of web based See Key Issues and Actions system to oversight and for Management Attention report concessions (roads, airports, water). Data on Financial Performance (as of 15-Nov-2013) Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P102931 IBRD-74580 Effective 14-Jun-2007 30-Nov-2007 27-Feb-2008 31-Jan-2013 31-Jan-2014 Public Disclosure Copy Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P102931 IBRD-74580 Effective USD 11.70 11.70 0.00 6.84 4.86 58.00 Disbursement Graph Page 5 of 6 The World Bank Report No: ISR13563 Public Disclosure Copy Key Decisions Regarding Implementation The loan has seen an increased pace of project implementation and several long term consultancies under the modernization program were launched during 2012. The project is reaching the closing date (January 31, 2014) Restructuring History Level two Approved on 19-Dec-2012 Related Projects There are no related projects. Public Disclosure Copy Page 6 of 6