RP1625 V1 THE UNITED REPUBLIC OF TANZANIA PRIME MINISTER’S OFFICE REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT (PMO-RALG) Tanzania Strategic Cities Project (TSCP) RESETTLEMENT POLICY FRAMEWORK FOR THE PROPOSED TSCP ADDITIONAL FINANCING PROJECT March 2014 1 Table of Contents LIST OF TABLES: ......................................................................................................................... 4 ACKNOWLEGMENT ................................................................................................................... 5 EXECUTIVE SUMMARY ............................................................................................................ 7 1 BACKGROUND .................................................................................................... 9 1.1 Project Description and Overall Context........................................................................ 9 1.2 Project Organisation and Implementation Arrangements ............................................ 10 1.2.1 Project implementation structure.................................................................................. 11 2 PRINCIPLES AND OBJECTIVES GOVERNING RESETTLEMENT AND COMPENSATION PREPARATION AND IMPLEMENTATION ............................................ 14 2.1 Rationale for Preparation of the Resettlement Framework .......................................... 14 2.2 Conditions that Would Lead to Potential Resettlement ............................................... 14 2.3 Potential for Adverse Social Impacts ........................................................................... 15 2.4 Objectives of the Resettlement Framework ................................................................. 15 2.5 Resettlement Planning: Principles and Practices .......................................................... 15 3 LEGAL AND INSTITUTIONAL FRAMEWORK ............................................. 17 3.1 OVERVIEW OF POLICIES AND LAWS GOVERNING LAND AND RELATED MATTERS ................................................................................................................................ 17 3.1.1 Constitution of the United Republic of Tanzania 1977 ................................................ 17 3.1.2 Laws on Property, Compensation, Expropriation ........................................................ 17 3.1.3 Land Acquisition .......................................................................................................... 19 3.1.4 Valuation ...................................................................................................................... 19 3.1.5 Compensation ............................................................................................................... 21 3.2 Institutional Framework ............................................................................................... 24 3.2.1 Ministry of Lands, Housing and Human Settlement Development ............................. 24 Survey and Mapping Division ...................................................................................... 25 3.2.2 Local Government Authorities ..................................................................................... 26 3.2.3 Natural Resources and Social Management Agencies ................................................. 26 3.3 World Bank Policy OP4.12 (Involuntary Resettlement) .............................................. 27 3.4 Comparison of the Tanzanian laws with the OP 4.12 and the gaps between the two .. 28 4 ORGANIZATION ................................................................................................ 34 2 4.1 RAP Implementation Process ....................................................................................... 34 4.1.1 Screening ...................................................................................................................... 34 4.1.2 RAP Preparation ........................................................................................................... 34 4.1.3 Consultation and participatory approach ...................................................................... 35 4.1.4 Disclosure and notification ........................................................................................... 35 4.1.5 Documentation and verification of land and other assets............................................. 35 4.1.6 Compensation and valuation ........................................................................................ 36 4.1.7 Community payments................................................................................................... 42 4.2 Grievance Mechanism .................................................................................................. 42 5 OPERATIONAL PROCEDURES........................................................................ 43 5.1 Stakeholder Analysis .................................................................................................... 43 5.2 Subproject Compensation and Resettlement Management Structure .......................... 43 Reviews and Audits ................................................................................................................ 44 6 SOCIO-ECONOMIC BACKGROUND ................Error! Bookmark not defined. 6.1 Approach for Identifying Project Affected Persons (PAPs) ....... Error! Bookmark not defined. 6.2 Categories of PAPs eligible for compensation ..............Error! Bookmark not defined. 6.3 Creation of Baseline Information on PAPs ...................Error! Bookmark not defined. 6.4 Social Impacts ...............................................................Error! Bookmark not defined. 6.4.1 Types of loss due to land acquisition ............................Error! Bookmark not defined. 6.4.2 Involuntary restrictions of access to resources, property or asset Error! Bookmark not defined. 7 METHODS FOR VALUING ASSETS ................................................................ 45 7.1 Organization Procedures .............................................................................................. 45 7.2 Methods for Valuation.................................................................................................. 45 7.2.1 Methods for Valuing State Owned Land ...................................................................... 45 7.2.2 Methods for valuing Assets held under Customary Rights on State Owned Land ...... 46 7.2.3 Valuation of Various Categories of Assets and Relocation Assistance ....................... 46 7.2.4 Market value of the real property (i.e. value of un-exhausted improvement and land) 46 7.2.5 Relocation allowances .................................................................................................. 47 7.2.6 Compensation for loss of income (rental accommodation, business profit, crops): .... 47 7.2.7 Calculation of total compensation figure/ inflation premium for 6 months delay ....... 48 7.2.8 Forms of compensation payments ................................................................................ 48 3 Compensation and Project (Civil Works) Schedule .................................................................. 49 8 BUDGET AND SOURCES OF FUNDING ........................................................ 50 9 CONSULTATION AND STAKEHOLDER PARTICIPATION ......................... 53 9.1 Involving Stakeholders ................................................................................................. 53 9.1.1 Data Collecting Phase .................................................................................................. 53 9.1.2 Implementation Phase .................................................................................................. 53 9.1.3 Monitoring and Evaluation Phase ................................................................................ 53 9.2 Documenting Consultation and Participation............................................................... 54 10 MONITORING AND EVALUATION ................................................................ 54 10.1 Content of Monitoring and Evaluation Program .......................................................... 54 10.2 Mechanisms for Monitoring ......................................................................................... 55 10.3 Mechanisms for Evaluation (Internal and External) .................................................... 55 ANNEXES .................................................................................................................................... 57 ANNEX 1: World Bank Resettlement Policy Framework (RPF) ............................................. 58 ANNEX 2: Annotated Outline for Preparing a Resettlement Action Plan (RAP) .................... 60 ANNEX 3: Sample Grievance and Resolution Form................................................................ 64 ANNEX 4: Sample Table of Contents for Consultation Reports.............................................. 65 ANNEX 5: Glossary of Terms .................................................................................................. 66 ANNEX 6: Relevant Laws ....................................................................................................... 68 4 LIST OF TABLES: Table 1 Anticipated Sub-projects types: TSCP (Additional Financing) ......................................... 10 Table 2 Comparison of Tanzanian and World Bank Policies on Resettlement and Compensation29 Table 3 Entitlement Matrix for TSCP-AF ...................................................................................... 37 Table 4 Indicative Outline of a RAP Budget .................................................................................. 52 Table 5 Indicators of monitoring and evaluating RAP Impacts ..................................................... 56 5 ACKNOWLEGMENT This Resettlement Policy Framework (RPF) report was produced for PMO-RALG. A team of consultants participated in the preparation of this framework document under the auspices of COWI Consultants Ltd: Ms. Saada K. Juma (Team Leader)1 and Ms. Beatrice Mchome (Senior Sociologist)2 and Mr Ignatius Ngamesha of COWI Tanzania3. Acknowledged are the contributions from government officials at PMO-RALG especially from Eng. Jovin Bujulu and Dr. mukuki Hante. This document is a product of a broad range of stakeholders that were consulted. Special thanks go to the Arusha City Council Project Teams: Eng. Afwilile Lamsey and Eng. Ezrom Kilamuhama; Tanga City Council Project Team: Eng. Gaston P. Gasana and Arafat Kaniki. Further, invaluable cooperation and assistance are acknowledged for the 4 cities of Mwanza, Tanga, Mbeya and Arusha; 4 Municipalities of Ilemela, Dodoma, Kigoma-Ujiji and Mtwara- Mikindani and the Capital Development Authority (CDA) and local leaders in these areas. Furthermore, special thanks go to government officials (Ministry of Lands, Housing and Human Settlement Development, Regional Secretariats and TSCP participating LGAs) who were met during field visits. Their inputs have been extensively used in the preparation of this RPF. Acknowledgement is also given to officials at the World Bank Tanzania office who provided valuable contribution to drafts and this final version of the document. 1 JSB Envidep Ltd, Ubungo Plaza 5th Floor, Box 34446 Dar es Salaam, Mobile +255 754 291 997; e-mail skatangi@hotmail.com 2 East Africa Resource Group, Dar es salaam, Mobile +255 784 464816,e-mail Beatrice@earg.co.tz 3 COWI Tanzania Ltd 398 Mwai Kibaki Road P.O.Box1007 Dar es Salaam, Mobile +255 767 222479; email ipon@cowi.co.tz 6 ABBREVIATIONS AND ACRONYMS AIDS - Acquired Immune Deficiency Syndrome CDA - Capital Development Authority CDD - Community Driven Development DPs - Displaced Persons ESIA Environmental and Social Impact Assessment ESMPs Environmental and Social Management Plans GoT - Government of Tanzania HIV - Human Immunodeficiency Virus IBRD - International Bank for Reconstruction and Development IDA - International Development Association LGAs Local Government Authorities M&E - Monitoring and Evaluation MEP - Monitoring and Evaluation Plan MTR Mid Term Review NGO - Non-Governmental Organizations OP/BP - Operational Policy/Bank Policy PAPs - Project Affected Persons PCDP - Public Consultation and Disclosure Procedures PIUs - Project Implementing Units PMO-RALG - Prime Minister’s Office, Regional Administration and Local Government RAP - Resettlement Action Plan RPF - Resettlement Policy Framework SDN - Sustainable Development Network SEA - Strategic Environmental Assessment TSCP - Tanzania Strategic Cities Project WB OP - World Bank Operational Policy 7 EXECUTIVE SUMMARY The Government of Tanzania (GoT) through the Prime Minister's Office Regional Administration and Local Government (PMO-RALG) intends to improvement on completed infrastructure projects and invest in additional sub-projects that were not financed and thus not implemented under Tanzania Strategic Cities Project (TSCP) with an investment loan from the World Bank: funded through the International Development Association (IDA) credit.The main objectives of TSCP remain the same: to improve the quality of and access to basic urban services in the eight selected Local Government Authorities (LGAs) of Mwanza, Tanga, Mbeya and Arusha Cities as well as Ilemela, Dodoma, Kigoma-Ujiji and Mtwara-Mikindani Municipalities and the Capital Development Authority (CDA). The specific locations, components and activities of infrastructure development or improvements – some of whom are likely to involve involuntary resettlement, and/or acquisition of land and restriction of access to assets and resources - are not known at this stage. The preparation of the RPF is one of the requirements by the World Bank to be fulfilled by the Government of Tanzania before the loan for the proposed TSCP – Additional Financing Project is approved. The RPF is strategic (programmatic), providing broad principles and directives to guide the project implementing urban authorities (Local Government Authorities and CDA)where necessary for more detailed assessments of activities that are likely to have resettlement / land acquisition issues. The preparation of the document involved a review of the relevant literature and a thorough process of consultations with sample urban Local Government Authorities stakeholders. The disclosure of the RPF will be both in Tanzania where it can be accessed by the public and at the Infoshop of the World Bank and the date for disclosure must precede the date for appraisal of the project. Consistent with the World Bank Operation Policy 4.12 on involuntary resettlement this resettlement policy framework establishes the resettlement and compensation principles and objectives governing resettlement of affected people which will be applied in all TSCP funded sub-projects and activities. The OP 4.12 principles will be applied in conjunction with Tanzania national laws and regulation guiding compensation and resettlement. In cases where the WB policy and the Tanzania laws are not in full accord, the higher standard and more stringent of the two will prevail as it satisfies the requirements of the lesser standards. Once impact location is known the nine Participating urban authorities (LGAs and CDA) will be fully responsible for preparation of individual sub-project Resettlement Action Plans (RAPs) with support of respective ward and Mtaa leaders and committees and other stakeholders. The PMO- RALG will approve the individual sub-projects and RAP and ensure compliance to requirements of this RPF. Involuntary resettlement planning and implementation will be mainstreamed in the programme of technical assistance and capacity building planned for the TSCP-Additional Financing. 8 Prior to implementation of any sub-project likely to have resettlement / land acquisition issues the Participating urban authority will prepare and implement individual sub-project RAP during which the RAP team will establish assets and categories of people and groups that will be affected and their entitlement to compensation. Two general methodologies will be applied to value land and un-exhausted improvements: estimation of the market value and/or estimation of the replacement costs. Method for estimating various kinds of allowances will be in accordance with OP 4.12 in conjunction with the Tanzania Land (Assessment of the Value of Land for Compensation) Regulations, 2001. Forms of payments will be in cash, in kind, and/or through assistance. This RPF recommend compensation at full replacement value added with allowances paid to all affected groups - regardless of the legality of land tenure - according to PAPs preference. Mechanisms available to affected people for complaints about aspects of their resettlement treatment will be through mediation and if unsuccessful, affected people will seek recourse/appeal through land tribunals and the court of law system. The urban LGA will deliver compensation following entitlements and procedures that takes full consideration of public participation, formal/informal notification and documentation. The taking of land and civil works activities will be effected only after compensation has been paid. GoT will be the source of funds for resettlement related costs. The exact cost estimates will only be possible when locations are identified. Consultations with, and participation of displaced persons in planning, implementation, and monitoring will be on-going throughout the process of preparing RAPs. The Local government system shall be the main channel of activities. However, evaluation and monitoring shall be fundamental components of the RAP preparation and implementation built into the overall monitoring framework of the entire TSCP; and will involve the Ministry of Lands, Housing and Human Settlement Development, various relevant stakeholders. 9 1 BACKGROUND 1.1 Project Description and Overall Context The Prime Minister’s Office, Regional Administration and Local Government (PMO-RALG) is implementing the Tanzania Strategic Cities Project (TSCP). Its main objective is to improve the quality of and access to basic urban services in the seven selected Local Government Authorities (LGAs) of Mwanza, Tanga, Mbeya and ArushaCities as well as Dodoma, Kigoma-Ujiji and Mtwara-Mikindani Municipalities and the Capital Development Authority (CDA). During the design and preparation of TSCP, the participating LGAs/CDA prioritized infrastructure sub-projects that would substantially enable the project objectives to be achieved. At the project appraisal, it was determined that due to cost estimates being far above the available funds under the credit, only a limited number of the prioritized projects in the list were to be financed under the project and the remaining sub-projects would be considered in future in case additional financing becomes available. Notably, there was no Resettlement Policy Framework (RPF) prepared for the original project. The Government of Tanzania (GoT) through PMO-RALG is now preparing a new credit for the TSCP Additional Financing (TSCP-AF) under the World Bank (through the International Development Association (IDA) to fund the sub-projects that were not financed and thus not implemented. There are three types of sub-projects to be implemented under the Core Urban Infrastructure and Services component of TSCP-AF:  Type 1 subprojects entailing additional works to improve completed infrastructure. This category of infrastructure will include some areas of the completed infrastructure that have been identified where improvements need to be made. Anticipated sub-projects types range from minor finishing works to small scale works on completed roads and drainage infrastructure such as expansion and /or extensions (by a few meters to less than ten kilometres) of access road or storm water discharge drains from completed facilities, addition of road furniture, access/cuts across drains to houses/property, pedestrian walkways, street lighting). Other additional works will entail rehabilitation / construction of parking areas for various vehicle types and associated facilities such as sheds, shelters, storage etc. sports grounds and additional of cells at solid waste sanitary landfills.  Type 2 subprojects which were prepared under TSCP but not implemented  Type 3 subprojects which are new proposals constituting infrastructure important for functionality of existing sub-projects will all be new investments entailing upgrading / rehabilitation of urban roads and drainage, including associated structures; solid waste management infrastructure and transport and local infrastructure. It is likely that investments in any of the 3 categories of sub-projects Type 1, 2, and 3 (Table 1) may trigger involuntary resettlement and related issues through acquisition of land albeit for small to medium scale infrastructure construction which will need to be managed. 10 Table 1 Anticipated Sub-projects types: TSCP (Additional Financing) Sub-project type Infrastructure Works Road and Drainage o Roads (rehabilitation by grading, gravelling, brick paving or tarmac/asphalt) Infrastructure and associated side drains (de-silting, sand traps, stone pitching, gabions, concrete pipes) o Road-side and stand alone drains (new construction to facilitate functioning of completed / existing facilities) o Pedestrian crossing slabs, pedestrian walkways, speed humps, rumble strips, road shoulders, etc) o Culverts and bridges o Road furniture installation: street lights, signing Urban transport o Bus stands / bus stops (entrance / exit lanes, fencing wall, security guard shelter, passenger waiting sheds, toilet) o Public car parking area, taxi stands, truck stands (new / upgrading by grading, gravelling, brick paving o Loading / off-loading bays Other works o Workshop (store) o Sports ground: tennis court, basket/netball courts o Utility: electricity supply system, water supply system, water storage Solid / Liquid Waste o Land fill (additional cells) Management o Community waste collection points (skip pads) o Rehabilitation of evaporation pond 1.2 Project Organisation and Implementation Arrangements Project coordination and implementation arrangements are such that TSCP – Additional Financing will be implemented through current arrangements of TSCP at both central and local government levels. The current arrangement is such that the PMO-RALG through the World Bank Working Group (WBWG) in the Division of the Urban Development is the executor of the TSCP, and is overall responsible for implementation of the project. PMO-RALG primary role is coordination of all participants responsible for the preparation, review, approval and implementation of the sub-projects including ensuring that the requirements of the RPF / RAPs are implemented. Seven LGAs and CDA in Dodoma are responsible for prioritizing projects which are implemented, participate fully in the execution and management of the infrastructure / sub-projects including safeguards management. Project implementation is mainstreamed at PMO- RALG and within existing LGA/ CDA departments (utilizing existing staffing structures and government system) to promote ownership and sustainability. TSCP is also working with a number of public and private institutions and Civil Society Organizations. The arrangement is designed to guarantee execution of works and development of sustainable urban infrastructure development and management and will be adopted for the TSCP – AFP. 11 1.2.1 Project implementation structure Steering Committee and Technical Committee: under TSCP – Additional Financing the committees will guide the work of the PMO-RALG Project Team with the Project Manager at PMO-RALG report directly to the Permanent Secretary. Central MDAs role will continue to be steering the TSCP with respect to policy and institutional issues with the Vice President’s Office and Ministry of Lands, Housing and Human Settlement Development (MLHHSD) representatives to the Inter-Ministerial Steering Committee and while the National Environment Management Council (NEMC) as a member of the Technical Committee. LGA and CDA Project Team will be composed of seconded LGA staff supported by consultants supervising major works. LGA Councils / CDA Board and Council Directors / CDA Director General will endorse LGA Annual Work Programmes of detailed activities for funding by PMO- RALG. Subproject compensation and resettlement management structure are detailed under chapter 5 of this RPF. 1.3 Social Impacts Within the context of the above prevailing conditions at the Participating LGAs, below are anticipated direct social and economic impacts relating to subprojects / activities that may require land take, acquiring land and other assets or restricting access: 1.3.1 Types of loss due to land acquisition Impacts of the TSCP financed sub-projects will vary in nature and degree depending on the situation at the site. Site screening could encounter various types of potential impacts/loss including social, economic, and administrative or effects on environmental equilibrium as a result of land acquisition. Likely categories of impacts/loss are indicated in the entitlement matrix. (i) Relocation or Loss of Shelter (homes) Loss of home result in displacement or relocation of persons occupying the dwelling (owner; tenant; squatter/informal dweller).Rehabilitation and upgrading works will happen on existing road ways or infrastructure sites with or without well demarcated right of ways/legally designated areas. In most areas these way leave or open spaces are built with homes or extensions of homes and other forms of shelters. (ii) Loss of Assets or Access to Assets Loss of land and/or property are the most likely impacts at location where the Participating LGA will acquire land as the land in question will be under use of some sort, communally, or individually. Thus, upon the involuntary removal from the proposed project sites people will suffer loss of rights to pieces of land, and/or un-exhausted improvements on the land i.e. built structures and crops. 12  Loss of land Mainly residential land or commercial land. Because urban agriculture and livestock keeping are widely practised affected land could also be agricultural land or grazing ground. Land could belong to private individuals, local institutions, or community/ public land. The land could either be grown with crops, or built with structures or open land used for recreation or not developed/used. Ownership could mainly be under either statutory rights of occupancy or customary rights of occupancy and the affected people will lose these land rights (owner; lease holder; informal user of the land).  Loss of house structures The built structures could be residential houses /dwelling, residential cum commercial houses, house annexed structures (e.g. kitchens, boundary wall / live fences, pit latrines, house foundations, stores, cottage industries, livestock pens/sheds etc.) or commercial structures (shop, stall); or house supply structures: water source/supply (well, pump, water line), electricity supply (underground, overhead etc.). Loss of buildings and structures will affect (owner; tenant; informal user of the structure) individual, institution or community.  Loss of Structures only (not land) Encroachers and squatters may suffer loss of fixed structures but not land on which they are built.  Relocation of movable assets and property These include privately own machinery, movable structures and graves  Loss of agricultural assets Farm properties mainly constitute standing crops permanent crops, trees, seasonal crops and vegetable gardens.  Loss of community infrastructure: Water line, electricity supply infrastructure, communication line  Public services and recreational grounds These include areas used by people permanently or periodically for activities that do not require built structures. (iii) Loss of income sources or means of livelihood of persons using the land or assets The person affected could be title holder/owner; tenant/lease holder; squatter/informal dweller.  Loss of income sources Through loss of business premise or cash crops  Loss of means of livelihood Through loss of farming, grazing area 13  Loss of rental accommodation or loss of business premises Residential or business tenants will incur loss of rental accommodation or loss of business premises as in many places people rent premises for business or residential purposes (iv) Natural assets These are unused farmland and natural vegetated / forested areas - these sections are usually not inhabited however the benefits accrued will be lost to the communities that use them. 1.3.2 Involuntary restrictions of access to resources, property or asset In other areas restrictions that prevent / limit access to resources, property or asset will also result in adverse impacts on livelihoods and wellbeing of affected persons. Example includes lack of access/cuts across drains to houses/property. 14 2 PRINCIPLES AND OBJECTIVES GOVERNING RESETTLEMENT AND COMPENSATION PREPARATION AND IMPLEMENTATION 2.1 Rationale for Preparation of the Resettlement Framework Although the specific project location is not known at this stage, it is envisaged that some investments through TSCP – Additional Financing are likely to involve involuntary resettlement, and/or acquisition of land and restriction of access to assets and resources issues. The World Bank Operational Policy 4.12, Involuntary Resettlement may be triggered because the project activity causes land acquisition, namely: a physical piece of land is needed and people may be affected because they may have buildings on that land. In semi-urban setups they may be cultivating on that land, they may use the land for water and grazing of animals or they may otherwise access the land economically, spiritually or any other way which may not be possible during and after the project is implemented. Therefore, when the policy is triggered people are compensated for their loss (of land, property or access) either in kind or in cash, of which the former is preferred. 2.2 Conditions that Would Lead to Potential Resettlement Subprojects / activities that may require land take, acquiring land and other assets or restricting access include: 1. Land acquisition or land-take due to changing route of existing roads or drainage channels into new land in order to avoid /minimize extensive resettlement: rehabilitation/upgrading of existing infrastructure at some points will necessitate diversion of a route into new land in order to avoid sensitive / important natural or social / cultural or economic features thus directly triggering resettlement through acquisition of the land at the point of diversion. 2. Acquisition of additional land for construction of new structures not existing before: in some areas, land-take for construction of new structures meant to facilitate functioning of completed facilities (i.e. drainage) will require acquisition of additional land. 3. Acquisition of additional land expansion or extension existing roads and drainage channels to achieve required construction standards: in some cases expansion of diameters or extension of lengths of existing roads and drainage channels will increase the size of the way leave extending into other land uses. 4. Land take on temporary terms: taking of land temporarily for diversion of traffic during construction phase, stock piling building materials, excavated soils and overburden (cleared soils and vegetation). 5. Restrictions to access: other causes of resettlement issues include construction of drainage channels without addition of access/cuts across drains to houses/property causing restrictions or access to homes, business or services; and restrictions at points of extraction of construction materials, water and other local resources leading to restrictions to other local resource users. 15 2.3 Potential for Adverse Social Impacts Loss of structures, residential or business premises may occur in instances where people have intentionally or unknowingly built on land designated or used for infrastructure development. However, most of the sub projects under TSCP are located in areas with appropriate land use plan or other types of physical plans, thus the resulting impacts will be minimal as the area for upgrading/improvements are already well determined in the plan, set aside and known to most if not all stakeholders. However, in most urban areas in Tanzania, there are no concerted efforts for monitoring land use plans, thus most planned areas are encroached upon by small business and by landless squatters and in semi-urban setups by farmers, livestock grazers etc. Thus in the event land is taken up all these uses will be impacted. Given the fact that the exact nature of the works (or their location) is not currently known, the application of this Resettlement Policy Framework (RPF) will guide participating urban authorities in managing land acquisition and mitigation of resulting impacts. Detailed RAPs, as needed, will be carried out for all project activities that trigger them. 2.4 Objectives of the Resettlement Framework The objectives of the Resettlement Policy Framework (RPF) are to: a) Establish the TSCP Additional Financing Project resettlement and compensation principles and implementation arrangements; b) Describe the legal and institutional framework underlying Tanzanian approaches for resettlement, compensation and rehabilitation; c) Compare the Tanzanian laws and the World Bank Operational Policy for Resettlement (OP 4.12) and identify the gaps. d) Define the eligibility criteria for identification of project affected persons (PAPs) and entitlements; considering Tanzanian laws and the World Bank OP 4.12 e) Describe the process for RAP preparation; f) Describe the consultation procedures and participatory approaches involving PAPs and other key stakeholders; and g) Provide procedures for filing grievances and resolving disputes. 2.5 Resettlement Planning: Principles and Practices The policy framework sets out a number of principles to guide the resettlement of affected people:  The RPF will apply to all sub-projects to receive funds under the core urban infrastructure and services component of TSCP (Additional Financing) located at various areas to be demarcated within nine participating urban authorities: Arusha City Council, Dodoma Municipal Council, Capital Development Authority, Kigoma-Ujiji Municipal Council, Mbeya City Council, Mtwara–Mikindani Municipal Council, Mwanza City Council, Ilemela Municipal Council and Tanga City Council. 16  The procedures will be carried out throughout preparation and implementation, and impacts of any potential resettlement will be included in monitoring and evaluation (M&E).  When a Resettlement Action Plan (RAP) is required, it will be prepared in accordance with guidance provided in this RPF, including Detailed Measurement Surveys, Identification (Census) of PAPs/displaced persons, and Public Consultation and Disclosure Procedures (PCDP).  The RPF and subsequent RAPs where necessary follow the guidance provided in the World Bank Operational Policy on Involuntary Resettlement (OP4.12), as described in Item 1.  The RPF ensures that any possible adverse impacts of proposed project activities are addressed through appropriate mitigation measures, in particular, against potential impoverishment risks. These risks can be minimized by: o Avoiding displacement of people without a well-designed compensation and relocation process; o Minimizing the number of PAPs, to the extent possible; o Compensating for losses incurred and displaced incomes and livelihoods; and o Ensuring resettlement assistance or rehabilitation, as needed, to address impacts on PAPs livelihoods and their wellbeing. 17 LEGAL AND INSTITUTIONAL FRAMEWORK 3.1 OVERVIEW OF POLICIES AND LAWS GOVERNING LAND AND RELATED MATTERS Currently there is no specific “resettlement policy� in Tanzania. However, Tanzania has a good policy, legal and institutional framework for management of social issues related to urban development, land and property acquisition and requirements for full, fair and prompt compensation enshrined in the National Constitution, the Land Policy and Land Acts of 1999 as well as supporting laws and regulations – operating at various levels including local laws and by- laws. 3.1.1 Constitution of the United Republic of Tanzania 1977 Tanzania is made up of two formerly independent countries which united in 1964. Tanzania Mainland and Zanzibar have each a different set of laws and procedures related to land and property rights. Tanzania as used herein refers to the Mainland only. Tanzania is a multi-party parliamentary democracy. The country is among the poorest nations in the World, but is rapidly developing and enjoying peace and a stable macro-economic status. The country has a central government, regional administrations and local governments. There are 21 regions, 169 districts for both rural and urban), and 12,500.Tanzania has an area of 945,087 km2 and a population of 40 million growing at around 2.5% p.a. with rapid urbanization taking place. Around 30% of the population is urban. Over 80% of the population depends on agriculture, but only 2% of rural land and 20% of urban land is registered. Poverty is still rampant despite macro- economic gains in the past decades. The Constitution of the United Republic of Tanzania 1977 (as amended) in its preamble provides that Tanzania aims at building a democratic society founded on the principles of freedom, justice, fraternity and concord, in which the Executive is accountable to the Legislature composed of elected members and representatives of the people, and also a Judiciary which is independent and dispenses justice without fear or favour, thereby ensuring that all human rights are preserved and protected. The Constitution provides for legislative supremacy of Parliament and independence of the Judiciary. It also embraces the principles of rule of law, separation of powers and a pluralistic political system. The Constitution of the United Republic of Tanzania provides for the rights of citizens to own property and rights for compensation. Article 24 (1) says: Every person is entitled to own property and has a right to the protection of his property held in accordance to the law. 3.1.2 Laws on Property, Compensation, Expropriation The National Land Policy (1996) of Tanzania provides guidance and directives on land ownership and tenure rights (equitable distribution of land, access to land by all citizens, rights in unplanned areas etc.) and taking of land and other land based assets. The policy and the Land Laws emanating from it stipulates organization and procedures for valuing assets, delivery of 18 compensation and land disputes resolution. The overall aim of the policy is to promote and ensure a secure land tenure system in Tanzania that protects the rights in land and resources for its entire citizen. The following principles are the basis of the land policy which the Land laws seek to implement:  All land in Tanzania is public land vested in the President as trustee on behalf of all citizen;  Existing rights in and recognized long standing occupation or use of land are clarified and secured by the law  The rights and interest of citizens in land shall not be taken without due process of law;  Land has value;  Full, fair and prompt compensation shall be paid when land is acquired (see sub-section iv below on compensation). The Policy creates a dual system of land tenure concerning public lands: (i) customary rights and (ii) statutory rights of occupancy. Tenure rights to land can be held by individuals and by communities. Holdings of individuals can be covered by the following:  Leasehold right of occupancy for varying periods e.g. 33, 66, or 99 years which must be confirmed by a certificate of occupancy; and  Customary rights of occupancy that must be confirmed by a certificate of Customary Right of Occupancy (Hati ya Ardhi ya Mila) and have no term limit. Communities (Villages) are allowed to hold land and to manage it, although they do not formally own the land. The Land Act and Village Land Act create three categories of land namely General Land, Village Land and Reserved Land. Besides, there is a category of hazard land. General land is described as consisting of all land which is neither village land nor reserved land. All urban land falls under this category, except land which is covered by laws constituting reserved land, or that which is considered hazard land. General land is governed by the Land Act and, hence, is under the control and jurisdiction of the Commissioner for Lands. This ministerial key person has delegated much of the powers to local government land officers. Property rights can be created over general land in terms of a granted Rights of Occupancy for a period of 33, 66 or 99 years confirmed by a Certificate of Title. Longstanding occupation of land except on government land) is recognized as conferring property rights. In the case of land acquisition all occupiers of land irrespective of whether they have a granted right of occupancy or not, are eligible to compensation. Granted rights of occupancy carry conditions including land development and the payment of land rent. Failure to abide with these conditions can lead to the loss of the right. Village land: is defined as being the land falling under the jurisdiction and management of a registered village. As Tanzania consists of a vast countryside with only a few urban areas, most land in the country is village land. Village and is held under customary tenure and the government can issue customary certificates of tenure to individuals or communities where the village is surveyed and has a Certificate of Village Land. Customary tenure is akin to freehold. 19 Reserved land: is defined as land being reserved and governed for purposes subject to nine listed laws. It includes: environmental protection areas, such as national parks, forest reserves, wildlife reserves, and marine parks as well as areas intended and set aside for spatial planning and (future) infrastructure development. The Commissioner for Lands can convert land from one category to the other. By far the majority of land occupiers have no certificates of title, in part because land has to be surveyed before it can be issued with a title. However, there is a lot of “de facto� recognition of property rights for the majority of land occupiers. 3.1.3 Land Acquisition The Land Acquisition Act 1967 is the principal legislation governing the compulsory acquisition of land in Tanzania. Sections 3-18 of the Act empower the President to acquire land in any locality provided that such land is required for public purposes. The Act provides the procedures to be followed when doing so including: the investigation of the land to see if it is suitable for the intended purpose; notification to the landowners to inform them of the decision to acquire their land before the President takes possession; and payment of compensation to those who will be adversely affected. If land is required for public purpose the President is required to give a six weeks' notice to those with an interest in the land in question but, if the situation so demands, the notice can be shortened without the need to give explanation. After the expiration of the notice period the President is entitled to enter the land in question even before compensation is paid. Land Act 1999 clarifies and adds certain aspects to be considered when determining the compensation package. Many other laws have provisions related to land acquisition, but they will always refer back to the Land Acquisition Act and the Land Act. Some of these laws are the Village Land Act (1999), the Roads Act 2007, Urban Planning Act 2007, Land Use Planning Act 2007, Graveyard Act, 1969(Act No. 9/1969); Mining Act 2010 and others4. 3.1.4 Valuation The Land Acquisition Act (s.14) requires the following to be taken into account in assessing compensation (a) take into account the value of such land at the time of the publication of notice to acquire the land without regard to any improvement or work made or constructed thereon thereafter or to be made or constructed in the implementation of the purpose for which it is acquired; 4 The Constitution of the United Republic of Tanzania of 1977 (as amended), the National Land Act (No. 4 of 1999), Village Land Act (No.5 of 1999), Land Regulations 2001 Subsidiary Legislation, Land Acquisition Act (1967), Land Ordinance (1923 Cap. 113) and Town and Country Planning Ordinance (1956 Cap. 378) contain provisions related to land tenure and ownership in Tanzania. 20 (b) when part only of the land belonging to any person is acquired, take into account any probable enhancement of the value of the residue of the land by reason of the proximity of any improvements or works made or constructed or to be made or constructed on the part acquired; (c) take into account the damage. if any. sustained by the person having an estate or interest in the land by reason of the severance of such land from any other land or lands belonging to the same person or other injurious effect upon such other land or lands; (d) not take into account any probable enhancement in the value of the land in future; (e) not take into account the value of the land where a grant of public land has been made in lieu of the land acquired; A practice developed that since land belonged to the public, the valuation for compensation excluded the value of bare land. However, among the clarifications made in the Land Act 1999 were: (a) to take into account that an interest in land has value and that value is taken into consideration in any transaction affecting that interest; and, (b) that in assessing for compensation, the market value of the real property is taken into consideration. Current practice is guided by the Land (Assessment of the Value of Land for Compensation) Regulations, 2001, and the Village Land Regulations, 2001, which provide that the basis for assessment of the value of any land and un-exhausted improvement for the purposes of compensation is the market value. The full and fair compensation is only assessed by including all components of land quality. Presently in assessing the value of the un-exhausted improvements for compensation purposes, the law emphasizes that the value should be the price that which said improvements can fetch if sold in the open market – market value. But this in normal circumstances is lower than the replacement value but higher than the initial construction cost of the said improvements. The market value of any land and un-exhausted improvement is arrived at by the use of the comparative method evidenced by actual recent sales of similar properties, or by the use of the income approach or replacement cost method, where the property is of special nature and is not readily transacted in, in the market. Agriculture and land acts provide for rights of individuals whose property may be acquired and to be compensated according to national laws. The laws set procedures for valuing crops and agricultural production and stipulates that the prices for cash crops will be determined as the average value over the previous year, corrected for inflation. The prices for subsistence crops will be determined as the highest value over the previous year, corrected for inflation. Crop values will be determined based on a combination of staple foods and cash crops. Specifically, the 80/20 ratio of land that a farmer typically has in food crops and cash crops is used to determine the chances s/he would lose food crop rather than a cash crop income. Another way of valuing agricultural production is through the value of stable crops to be taken as the highest market price reached during the Year. This is based on three factors: (i) Although most farmers grow staple crops mainly for home consumption, they always have the option of 21 selling these crops to take advantage of the market; (ii) Farmers most often purchase cereals when they have run out, during the "hungry season" when prices are high. Compensating at a lower value might put the individual or household at risk. (iii) Averaging the highest price of stable foods yields a high per hectare value that reimburses for the vegetables and other foods that are commonly inter-cropped with staples, but are almost impossible to measure for compensation. Assessment can only be carried out by a qualified valuer and where the government (national and local) is involved; such assessment must be verified by the Chief Valuer in the government. A number of national laws have provisions requiring Environmental and Social Planning for investments that may cause adverse environmental impacts to the resource and mitigation measures for individuals affected by development activities. The National Environment Policy, 1997; and The Environment Management Act, 2004 (Act No. 20 /2004). Land-based natural resources that could be affected by land acquisition include agriculture resources (arable land), forests and contained biodiversity and beekeeping, non-renewable mineral resources (including construction materials such as gravel); surface and underground water resources. Each category is governed by one or a set of laws and regulations but all invariably have taken measures to ensure access to use and enjoyment of all Tanzania citizens. The Local Government (District Authorities) Act No. 7, 1982 and Local Government (Urban Authorities) Act No. 8, 1982 stipulate the functions of District/Urban councils. Issues of land are included as objectives of functions and therefore part of the mandates of local government in their respective areas. 3.1.5 Compensation The principal of paying compensation for land that is compulsorily acquired exists in both the constitution and in the relevant land laws. The Constitution disallows the deprivation of one’s property held in accordance with the law, unless the owner is fairly and adequately compensated. Article 24 Sub-article (2) of the Constitution provides that: ….. it shall be unlawful for any person to be deprived of property for the purposes of nationalization or any other purposes without the authority of the law which makes provision for fair and adequate compensation. Under the land Acquisition Act, 1967, the person whose land is acquired is entitled to be compensated if they so deserve as provided for under section 11 and 12 of the Act. The persons entitled to compensation are those interested or claiming to be interested in such land; or persons entitled to sell or convey the same or as the government may find out after reasonable inquiries. Under the Act, the government is required to pay compensation for the land taken. The compensation may be as agreed upon, or as determined under the Act. The government may in addition to compensation and with agreement of the person entitled to compensation pay compensation as well as give alternative land. There are situation where the government is compelled to give alternative land (e.g. in cases where land was used as a cemetery) in lieu or in 22 addition to compensation. The land granted must be of the same value and held under the same terms as the land acquired, and must be in the same local government authority area unless the person whose land is being acquired consents to be given land elsewhere. The Land Acquisition Act does not provide for compensation where land is vacant. Besides, where land is inadequately developed, compensation is to be limited to the value of un-exhausted improvements of the land. The Act restricts compensation to un-exhausted improvements on the land excluding the land or such improvements as land clearing and fencing. However, provisions in the Land Act 1999 over-ride or clarify those in the Land Acquisition Act. In the case of compulsory acquisition, the government is required: To pay full, fair, and prompt compensation to any person whose right of occupancy or recognized long-standing occupation or customary use of land is revoked or otherwise interfered with to their detriment by the state under this Act or is acquired under the Land Acquisition Act, 1967; The question of documented legality is not a key consideration in entitlement to compensation. In practice at least in recent days, compensation has been paid in all cases of people who claim to be landowners and who are adversely affected by the contemplated scheme. However, the definition of beneficiaries has been taken not to include tenants. In assessing compensation for the land acquired in the manner provided for under this Act, the concept of opportunity cost shall be based on the following: (i) Market value of the real property (ii) Transport allowance (iii)Loss of profits or accommodation (iv) Cost of acquiring or getting the subject land (v) Disturbance allowance (vi) Any other cost, loss or capital expenditure incurred to the development of the subject land; (vii) Interest at market rate to be charged in case of delays in payment of compensation and any other costs incurred in relation to the acquisition. The Land (Assessment of the Value of Land for Compensation) Regulations, 2001 and the Village Land Regulations, 2001, provide for the amount of compensation to include the value of un- exhausted improvements, disturbance allowance, transport allowance, accommodation allowance and loss of profits. Disturbance allowance is calculated by multiplying the value of the land by an average percentage rate of interest offered by commercial banks on fixed deposits for twelve months at the time of loss of interest in land. Transport allowance is the actual cost of transporting twelve tons of luggages by road or rail whichever is cheaper within twenty kilometres from the point of displacement. 23 Accommodation allowance is calculated by multiplying the monthly market rent for the acquired property by thirty six months. Loss of profit in the case of business carried out on the acquired property will be assessed by calculating the net monthly profit evidenced by audited accounts where necessary and applicable, and multiplied by thirty six months. Transport allowance, accommodation allowance and loss of profit do not apply where the land acquired is unoccupied at the date of loss of interest. Compensation is to be paid promptly but if it is not paid within six months it will attract an interest equal to the average percentage rate of interest offered by commercial banks on fixed deposits. In the case of agricultural land, compensation is intended to provide a farmer whose land is acquired and used for project purposes to cover the productive values of the land, labour, and crop loss. For this reason, and for transparency, "land" is defined as an area: (i) in cultivation; (ii) being prepared for cultivation; or (iii) cultivated during the last agricultural season. This definition recognizes that the biggest investment a farmer makes in producing a crop is his/her labour. A farmer works on his/her land most of the months of the year. The major input for producing a crop is the significant labour put into the land each year by the farmer. As a result, compensation relating to land will cover the market price of labour invested times the amount of time spent preparing a plot equivalent to that taken. The market price of the crop lost is considered separately. The other compensation rates cover the labour cost for preparing replacement land based on a calculated value that would cost a farmer to clear and create replacement land. This value is found by adding together the average costs of clearing, ploughing, sowing, weeding twice, and harvesting the crop. Labour costs will be paid in Tanzania shillings, at the prevailing market rates. All agricultural labour activities are included for two reasons. First, all land labour will be compensated at the same rate. Second, it is difficult to forecast the growing season that would define acquisition of the land. The eventual consideration is when land compensation covers all investments that a farmer will make. In certain cases, assistance may be provided to land users in addition to compensation payment, for example, if the farmer is notified that his/her land is needed after the agriculturally critical date. Often, the timing coincides with the time when the farmer no longer has enough time to prepare another land without additional labour. Assistance will be provided in the form of labour-intensive village hire, or perhaps mechanized clearing, so that replacement land will be ready by the sowing dates. The farmer will still continue to receive his/her cash compensation so that the compensation can cover the costs for sowing, weeding and harvesting. Compensation for structures will be paid by replacing at cost, for example, huts, houses, farm- 24 out-buildings, latrines and fences. Any homes lost will be rebuilt on acquired replacement land, however cash compensation would be available as a preferred option for structures (i.e. extra buildings) lost that are not the main house or house in which someone is living. The going market prices for construction materials will be determined. Alternatively, compensation will be paid in- kind for the replacement cost without depreciation of the structure. Compensation will be made for structures that are: (i) abandoned because of relocation or resettlement of an individual or household; and (ii) directly damaged by construction activities. Replacement values base on:  Drawings of individual's household and all its related structures and support services;  Average replacement costs of different types of household buildings and structures based on collection of information on the numbers and types of materials used to construct different types of structures (e.g. bricks, rafters, bundles of straw, doors etc.) For vulnerable groups identified in earlier section of this RPF replacement values will be based on actual replacement cost.  Prices of these items collected in different local markets;  Costs for transportation and delivery of these items to acquired/replacement land or building site; and  Estimates of construction of new buildings including labour required. 3.2 Institutional Framework Tanzania has no policy on involuntary resettlement, but acts stipulate the various actors in land and natural resources administration and management including acquisition of land, access, use and management of public resources. Taking this and requirement of the World Bank OP 4.12 into consideration, two institutional frameworks comes into play in the development and implementation of the RPF - Central Government Ministries, Department and Agencies and Local Government Authorities: 3.2.1 Ministry of Lands, Housing and Human Settlement Development The Ministry of Lands, Housing and Human Settlement Development is responsible for policy, regulation and coordination of matters pertaining to land in Tanzania and administers the various land acts: Land Acquisition Act, the Land Act and the Village Land Act.The Ministry is responsible for land use planning, management and land delivery activities specifically surveying and demarcating land/parcel/farms, and provision of land ownership and tenancy in both rural and urban areas.  Minister Responsible for Lands / Land Use Planning: Established under the Land Policy and the Land Act (Section 8) as the sole authority over all for land matters. The Land Act poses to Minister the duty of policy formulation and implementation of Land Policy and Act. The Minister is directed to perform a number of functions (delegated to the Commissioner for Lands) including issuing permit for using land (other than village or reserved land).Under the Urban Planning Act (Section 5) the Minister ensure incorporation of principles of urban planning in planning processes and use and development of land. The Minister 25 is empowered to designate any Body or Organ as a planning authority (Section 7 (4)) and to declare any area of land to be a planning area (Section 8(1)).  Commissioner for Lands Established under the Land Policy and Land Act as sole authority responsible for land administration. Land Act (Section 9-11) impose the Commissioner for land as the principal administrative officer and professional officer and advisor to the government in land matters (land allocation, acquisition, registration and land management in general) at all levels. All instances of acquisition of land for public purposes and the need for resettlement and/or compensation have to be referred to the Commissioner.The Commissioner may appoint officers at the appropriate levels of government to administer land other than village land. Has power to delegate the powers to officers at Local Authority or public organization all who work and comply to directives of the Commissioners.  National Land Use Planning Commission Established under Section 6 &7 of the Land Use Planning Act, as the principal advisory organ of the Government on all matters related to land use. The Commission is comprised of various environmental stakeholder to ensure oversee the best use of land use planning.  Survey and Mapping Division The Surveys and Mapping Division also provides land survey services to government agencies, maintains geodetic survey control networks, prepares and maintains cadastral and topographic maps for the entire country. The Director of Surveys is responsible for coordinating all public sector mapping activities and for maintaining records of all maps, plans and land surveys which are conducted by government agencies.  Director of Urban Planning Established under the Urban Planning Act (Section 6) to advise to Minister, issue guidelines, set standards, coordinate and approval of matters related to urban planning.  National Land Advisory Council Established under the Land Act (Section 17) to advice Minister on Land Policy and institutional framework and organizational structure for land matters.  Land Allocations Committee Under the Land Act (Section 12) Land Allocation Committees are to be established at central, urban and district authorities to perform duties related to advise of application of Rights of Occupancy.  Chief Valuer Land (Assessment of the Value of Land for Compensation) Regulations, 2001 (Regulation 6) directs that every assessment of the value of land and un-exhausted improvement is verified by the Chief Valuer of the Government or Representative. 26  Qualified Valuer Land (Assessment of the Value of Land for Compensation) Regulations, 2001 (Regulation 5) directs that every assessment of the value of land and un-exhausted improvement is done by a qualified Valuer. The Valuers are government employees of individuals or companies registered as service providers in the lands sector and conduct surveys, property valuation etc. 3.2.2 Local Government Authorities The Local Government system in Tanzania is based on the decentralization policy and is enshrined in the Regional Administration Act (1997), Local Government (District Authorities) Act No. 7, 1982, and the Local Government (Urban Authorities) Act No. 8, 1982. Relevant to this RPF is the later, governing urban authorities. Administratively Tanzania is divided into three levels of Local Governments whereby each level has statutory functions with respect to development planning. The three levels with respect to urban authorities are: City / Municipal Councils; Town Councils and Ward; and "Mtaa" (sub- ward) Councils. A City is divided into Municipalities; a Municipal Councils subdivided into Municipal Wards and this into sub-wards or “Mtaa� as the lowest administration unit in urban areas. The City Councils and Municipal Councils are body Corporate responsible for planning, financing and implementing development programmes within their areas of jurisdiction. o Municipal Land Department with sections /units for physical planning, surveying, valuation; o District functional departments including Community Development (communities mobilization and sensitization); Environmental Management Offices (acts as appendages of national environmental authorities); o Land Tribunals (Municipal, Ward levels) for handling and resolving land-related disputes and grievances; o Various multi-disciplinary, multi-sectoral technical teams and committees of Councillors responsible for social issues at local government levels. Local governments are not replicated at the regional level. Regional authorities provide technical advice and support and exercise supervision to the Municipal councils. Regional and District Commissioners are responsible for co-ordinating and managing central government affairs. 3.2.3 Natural Resources and Social Management Agencies Vice President’s Office (National Environment Management Council (NEMC) and Division of Environment (DoE) NEMC is vested with overall responsibility for screening (allocating the appropriate level of the impact assessment) and reviewing big investments and projects of national significance. NEMC constitutes multi-disciplinary, multi-sectoral Technical Review Committees to review adequacies of environmental impact statements (incl. Environmental Social Management Plans/ Environmental Social Monitoring Plans). NEMC issues recommendations to the government for 27 approval of the project. DoE issue approval (EIA Certificates) for the project to proceed. Mitigation of impacts arising from land acquisition and fulfilment of compensation procedures constitute key project approval criteria. Units within Sector Ministries/ Institutions These have been established to oversee social matters including supervision and monitoring of implementation of project social management plans, and gender issues. 3.3 World Bank Policy OP4.12 (Involuntary Resettlement) The overall objectives of the OP4.12 (Annex 1) on involuntary resettlement are:  To avoid or minimize involuntary resettlement and land acquisition where feasible, exploring all viable alternatives of project location and designs. Where involuntary resettlement and acquisition of land or other assets is unavoidable -  To conceive and execute compensation as sustainable development programs, providing sufficient investment resources to give the persons displaced by the project the opportunity to share project benefits.  To consult with displaced and compensated persons and provide them opportunities to participate in planning and implementing resettlement and compensation programs.  To assist displaced and compensated persons - regardless of the legality of land tenure - in their efforts to improve their livelihoods and standards of living (income earnings capacity and production levels) or at least to restore them, in real terms, to pre-displacement levels or levels prevailing prior to the beginning of the project implementation, whichever is higher. This policy covers direct economic and social impacts that are caused by the involuntary taking of land resulting in relocation, loss of shelter, loss of assets or access to assets; or loss of income sources or means of livelihood, WB Involuntary Resettlement Policy OP 4.12 requires that all projects screened for potential environmental and social impacts be supported/guided by a RPF that identifies involuntary resettlements under the planned project, identifies impacts i.e. severe economic, social and environmental risks and based on this defines the scope of the resettlement assistant programme (i.e. RAP) for affected persons. However, in Tanzania, there are no explicit requirements for a RPF or RAP. As regards compensation the Tanzania laws requires that only the rightful land or property owner (statutory or customary rights of occupancy) should be compensated, while the WB OP 4.12 require that any person (whether is rightful owner or not ) who loose or is denied or restricted access to economic resources – including tenants, encroachers, squatters - should be 28 compensated. Although there are no significant discrepancies between WB requirements and Tanzania government’s requirements regarding compensation and resettlement of Project Affected People (PAP), as far as this RPF for TSCP-AF infrastructure projects are concerned, the World Bank’s safeguard policy will prevail. 3.4 Comparison of the Tanzanian laws with the OP 4.12 and the gaps between the two The World Bank Operational Policy 4.12, Involuntary Resettlement may be triggered because the project activity causes land acquisition, namely: a physical piece of land is needed and people may be affected because they may have buildings on that land, and in semi-urban setups they may be cultivating on that land, they may use the land for water and grazing of animals or they may otherwise access the land economically, spiritually or any other way which may not be possible during and after the project is implemented. Therefore, when the policy is triggered people are compensated for their loss (of land, property or access) either in kind or in cash, of which the former is preferred. The objectives of the policy on involuntary resettlement (OP 4.12) are the following;  To avoid or minimize involuntary resettlement and land acquisition where feasible, exploring all viable alternatives of project location and designs. Where involuntary resettlement and acquisition of land or other assets is unavoidable -  To conceive and execute compensation as sustainable development programs, providing sufficient investment resources to give the persons displaced by the project the opportunity to share project benefits.  To consult with displaced and compensated persons and provide them opportunities to participate in planning and implementing resettlement and compensation programs.  To assist displaced and compensated persons - regardless of the legality of land tenure - in their efforts to improve their livelihoods and standards of living (income earnings capacity and production levels) or at least to restore them, in real terms, to pre-displacement levels or levels prevailing prior to the beginning of the project implementation, whichever is higher. Laws on land administration in Tanzania are comprehensive but differ in several ways with the Bank’s OP 4.12 (Table 2). For example, entitlements for payment of compensation are essentially based on the right of ownership, which limits the rights of non-formal occupants like slum dwellers and tenants which the Bank’s OP 4.12 policy recognizes. The provision that affected persons are entitled to some form of compensation whether or not they have legal title if they occupy the land by a specified cut-off date is not explicit in Tanzanian laws although in practice these are compensated. Where there is a difference between Tanzanian law and OP 4.12, the latter shall prevail. 29 Table 2 Comparison of Tanzanian and World Bank Policies on Resettlement and Compensation Comparison of Tanzanian and World Bank Policies on Resettlement and Compensation Types of affected Tanzanian Law World Bank OP 4.12 Comparison/Gaps Persons/Lost Assets Land Owners The Land Acquisition Act, the Land Act 1999 Displaced persons are classified into three There is no gap between Tanzania and OP 4.12 and the Village Land Act 1999 have it clearly groups: as far as those with formal legal rights and those that land owners, with or without formal legal (a) those who have formal legal rights without formal legal rights are concerned rights, are entitled to full, fair and prompt including customary and traditional compensation. They also get disturbance rights; WB OP 4.12 recognises a wider spectrum of allowance, transport allowance, (b) those who do not have formal legal PAPs compared to Tanzanian law including accommodation allowance and loss of profit if rights to the land but have a claim to tenants and squatters who do not have legal they were in actual occupation of the acquired such land or assets provided that such rights to the land they are occupying. property. claims are recognized under the law of the country WB OP 4.12 includes squatters among the Lost assets are limited to “un-exhausted (c) those who have no legal rights to the PAPs who are entitled to resettlement assistance improvements�, that is the land and land they are occupying in lieu of the land they occupy, as well as other developments on the land. assistance. Land owners under categories (a) and (b) The law does not cover economic and social above, are among the PAPs who are However, the lost assets in Tanzania are impacts of relocation and as such socio- entitled to full, fair and prompt restricted to land and developments on land, and economic surveys are not part of the land compensation as well as other relocation where relevant, loss of profits. The lost assets acquisition process assistance. under OP 4.12 are much wider than land and include loss of access to livelihoods and Socio-economic impacts to PAPs are taken standard of living and seeks to improve them or into consideration in preparing the RAP at least to restore them to pre-displacement levels Land Tenants/Squatters Tanzanian law does not recognize tenants as Tenants would be under category (b) above WB OP 4.12 recognises a wider spectrum of being entitled to compensation and are among the PAPs who are entitled to PAPs. The Tanzania spectrum is limited to full, fair and prompt compensation and those who can prove proprietary rights. It does other relocation assistance not include tenants Squatters may be paid compensation on the Squatters may fit category (c) above and are whims of the government. provided resettlement assistance in lieu of WB OP 4.12 includes squatters among the compensation for the land they occupy as PAPs who are entitled to resettlement assistance In some cases however they are not paid. This well as other relocation assistance. in lieu of the land they occupy, as well as other include those who construct on road reserves assistance. Land Users Tanzania law on compulsory acquisition and WB OP 4.12 includes displaced persons compensation is limited to those who can prove who have no recognizable legal right or This is different from the Tanzanian situation de jure or de facto land ownership. Users are claim to the land they are occupying where people who do not have legal right of the not covered affected land are not entitled to any assistance. Owners of non-permanent Tanzanian law makes no differentiation Under the WB OP 4.12 permanent and non- The gap between Tanzania and WB OP 4.12 is buildings between owners of permanent and non- permanent buildings need to be about eligibility, which is hinged upon formal Owners of permanent permanent buildings. As long as ownership can compensated. or informal ownership. 30 Comparison of Tanzanian and World Bank Policies on Resettlement and Compensation Types of affected Tanzanian Law World Bank OP 4.12 Comparison/Gaps Persons/Lost Assets buildings be proved compensation is payable. Where however, the displaced persons have While, in Tanzania, compensation is based on Determination of compensation is based on the no recognizable legal rights they are to be market value, determined using the depreciated market value of the property. In practice provided with resettlement assistance in replacement cost approach for developments on though, the depreciated replacement cost lieu of compensation for the land they land, WB OP 4.12 requires that compensation approach is used, meaning that PAPs do not get occupy, as well as other assistance. should be sufficient to replace the lost land and the full replacement cost of the lost assets. other assets at full replacement cost based on Cash compensation levels should be market value. sufficient to replace the lost land and other assets at full replacement cost in local markets. Encroachers Person who encroaches on the area are not Person who encroaches on the Those who encroaches the area after cut-- off entitled to compensation or any form of date are not compensated. resettlement assistance. area after the cut off date are not Encroaches have to demolish their asset without entitled to compensation or any form of any compensation, if refuse the authority resettlement assistance concern will demolish at their cost. It is strictly prohibited to especially to build a house or to plant permanent trees and crops within the unauthorized areas Timing of compensation Tanzanian law requires that compensation be WB OP 4.12 displaced persons are In terms of timing, both Tanzanian laws and payments full, fair and prompt. Prompt means it should be provided prompt and effective WB OP 4.12 require that compensation be paid paid within six months, failure to do which compensation at full replacement cost for promptly prior to commencement of civil attracts an interest rate equivalent to the losses of assets directly attributable to the works. average rate offered by commercial banks on project before any civil work starts fixed deposits. Legally, compensation for the acquired land does not have to be paid before possession can be taken, but in current practice it is usually paid before existing occupiers are displaced. In practice, compensation is not paid promptly most of the time, and delays are not rectified paying the interest rate as required by the law Calculation of compensation According to the Land Assessment of the value WB OP 4.12 requires that the displaced Tanzania law provides for the calculation of and valuation of Land for Compensation) Regulations, 2001, persons be provided with prompt and compensation on the basis of the market value as well as the Village Land Regulations, 2001, effective compensation at full replacement of the lost land and un-exhausted compensation for loss of any interest inland cost for losses of assets attributable direct to improvements, plus a disturbance, 31 Comparison of Tanzanian and World Bank Policies on Resettlement and Compensation Types of affected Tanzanian Law World Bank OP 4.12 Comparison/Gaps Persons/Lost Assets shall include the value of un-exhausted the project. accommodation, and accommodation improvements, disturbance allowance, transport allowance, and loss of profits where applicable. allowance, accommodation allowance, and loss Replacement cost is the method of of profits. valuation of assets that helps determine the Since depreciation is applied, the amount paid amount sufficient to replace lost assets and does not in most cases amount to that required The basis for assessment any land and un- cover transaction costs. Depreciation is not to replace the lost assets. Besides, other types of exhausted improvement for purposes of to be taken into account when applying this assets (besides land) are not taken into compensation is the market value of such land. method. consideration. The market value is arrived at by the use of For losses that cannot easily be valued or Tanzania laws are restricted to land and comparative method evidenced by actual recent compensated in monetary terms (e.g. access developments on land, and loss of profits sales of similar properties; or by the use of the to public services, customers and suppliers, whereas WB )P 4.12 considers all types of income approach, or replacement cost method, or to fishing, grazing or forest areas) losses and provision of alternative where the property is of special nature and not attempts are made to establish access to compensation measures. saleable. equivalent and culturally acceptable resources and earning opportunities. In practice, with land an attempt is made to establish market value from recent sales, but these are usually not transparent. As for un- exhausted improvements in terms of buildings and other civil infrastructure, the depreciated replacement cost approach is used Relocation and Resettlement Tanzanian laws do not provide for relocation WB OP 4.12 stipulate that where project Tanzanian law provides for transport allowance and resettlement. However, there are a few impacts include physical relocation, for 12 tons of luggage for up to 12 kilometres cases where the government has provided both measures should be taken to ensure that the from the acquired land, provided the displaced compensation and alternative land, but this has displaced persons are: (i) provided with person was living on that land. been done at its discretion. In general however, assistance (such as moving allowance) In lieu of housing accommodation allowance is the government feels that it has discharged its during relocation; and (ii) provided with made in the form of rent for 36 months. duty once compensation is paid, and it is up to residential housing, or housing sites, or, as the displaced persons to resettle and re-establish required, agricultural sites for which a Occasionally, in a discretionary manner themselves elsewhere. combination of productive potential, alternative land is awarded. locational advantages and other factors is at least equivalent to the advantages lost. Completion of resettlement The government can, under the law, take WB OP 4.12 stipulates that it is necessary The Land Acquisition Act, 1967, allows the and compensation possession of the acquired land at the end of the to ensure that displacement or restriction to government to take possession of the acquired notice to acquire period, before paying access does not take place before necessary land before paying compensation. compensation. measures for resettlement are in place. In particular, taking of land and related assets Current practice endeavours to pay Current practice however is such that may take place only after compensation has compensation before taking possession of the possession is usually after the payment of been paid, and where applicable, land. 32 Comparison of Tanzanian and World Bank Policies on Resettlement and Compensation Types of affected Tanzanian Law World Bank OP 4.12 Comparison/Gaps Persons/Lost Assets compensation whereby the displaced persons resettlement sites and moving allowance are given time to vacate the land, which is have been provided to the displaced usually as soon as possible persons. Livelihood restoration and There are no legal provisions requiring the WB OP 4.12 provides that the resettlement There are no transitional measures provided for assistance government to restore livelihood or to provide plan or policy include measures to ensure under Tanzanian law and practice; nor are there assistance towards the restoration of such that the displaced persons are (i) offered provisions for compensation as a result of livelihoods. support after displacement for a transitional restrictions to access to livelihood. The period, based on a reasonable estimate of Tanzanian law does not make provisions Indeed, compensation is not payable in the case the time likely to be needed to restore their requiring the government to pay special of restrictions to access to areas of livelihood livelihood and standard of living; and, (ii) attention to vulnerable groups in the opportunities. provided with development assistance in administration of compensation addition to compensation measures, such as Moreover there are no provisions that require land preparation, credit facilities, training or the government to pay special attention to job opportunities. vulnerable groups or indigenous peoples Consultation and disclosure There scanty provisions related to consultation WB OP 4.12 requires that displaced persons The provisions in WB OP 4.12 requiring and disclosure in Tanzanian law. are (i) informed about their options and consultation and disclosure have no equivalent rights pertaining to resettlement; and, (ii) in Tanzanian law and practice The notice, under the Land Acquisition Act, consulted on, offered choices among, and informs land owners about the President’s need provided with technically and economically to acquire their land, and their right to give feasible resettlement alternatives. objections. The Land Act allows displaced persons to fill in forms requiring that their land be valued, and giving their own opinion as to what their assets are worth. Since resettlement is not provided for legally, there are no provisions about informing the displaced persons about their options and rights; nor are they offered choice among feasible resettlement alternatives. Grievance mechanism and Under s. 13 of the Land Acquisition Act, where WB OP 4r.12 provides that displaced The law in Tanzania does not provide for the dispute resolution there is a dispute or disagreement relating to persons and their communities, and any establishment of grievance resolution any of .the following matters: host communities receiving them, are mechanisms specific to particular resettlement (a) the amount of compensation; provided with timely and relevant cases. (b) the right to acquire the land; information, consulted on resettlement (c) the identity of persons entitled to options, and offered opportunities to compensation; participate in planning implementing and (d) the application of section 12 to the land; monitoring resettlement. Appropriate and 33 Comparison of Tanzanian and World Bank Policies on Resettlement and Compensation Types of affected Tanzanian Law World Bank OP 4.12 Comparison/Gaps Persons/Lost Assets (e) any right privilege or liability conferred or accessible grievance mechanisms must be imposed by this Act; established for these groups (f) the apportionment of compensation between the persons entitled to the same and such dispute or disagreement is not settled by the parties concerned within six weeks from the date of the publication of notice that the land is required for a public purpose the Minister or any person holding or claiming any interest in the land may institute a suit in the High Court of Tanzania for the determination of the dispute. In practice the government tries to resolve grievances through public meetings of the affected persons. 34 4 ORGANIZATION It is envisaged that some subprojects under TSCP-AF are likely to involve involuntary resettlement, and/or acquisition of land and restriction of access to assets and resources issues. During implementation of the subprojects, a social impact assessment will be carried out with the objective to identify all those areas and sites where there will be an impact on land, people and property and access to resources. At that stage, OP 4.12 calls for the preparation of individual Resettlement and Compensation Plans that must be consistent with this RPF. This policy framework guides the preparation of resettlement action plans for the sub projects, which need land acquisition and resettlement people and/or may impact access to resources. 4.1 RAP Implementation Process During implementation of this Tanzania Strategic Cities Project – Additional Financing, a social assessment will be carried out to identify the areas or sites expected resettlement impacts due to land acquisition or restriction of access to resources. At that stage, OP 4.12 calls for the preparation of separate stand-alone Resettlement Action Plans (RAPs) consistent with the guidelines provided in this RPF. The following procedural guidelines will apply when it is determined that a RAP would be developed. (i) All potential PAPs should be identified (through a scoping exercise) and informed about their options and rights pertaining to compensation for land and assets to be acquired by the sub-project(s); (ii) PAPs must be consulted about land acquisition and compensation and offered technical and financial options, including the most economically feasible alternatives; and (iii) PAPs should receive reasonable compensation at full replacement cost for losses of assets and access attributable to the sub-project before any civil work starts. 4.1.1 Screening This process would lead to the creation of a list of the number and types of infrastructure (including buildings or other structures) that sub-projects will construct that may potentially involve resettlement issues. This list will be presented to affected communities using a sensitization and consultation process. These consultations will be documented for each site (sub-project). 4.1.2 RAP Preparation As soon as the list (sub-projects) is approved by the responsible agency (PMO-RALG) implementing the Tanzania Strategic Cities Project – Additional Financing, a consultative and participatory process for preparing a RAP will be started, as follows: (i) A socio-economic survey will be completed to determine scope and nature of resettlement impacts. (ii) The socio-economic study will be carried out to collect data in the selected sub-project 35 sites. (iii) The socio-economic assessment will focus on the potential affected communities, including some demographic data, description of the area, livelihoods, the local participation process, and establishing baseline information on livelihoods and income, landholding, etc. Annex 2 describes the requirements for the RAP in detail. In general, the RAP contains the following information: i) Baseline Census; ii) Socio-Economic Survey; iii) Specific Compensation Rates and Standards; iv) Entitlements related to any additional impacts; v) Site Description; vi) Programs to Improve or Restore Livelihoods and Standards of Living; vii) Detailed cost estimates and Implementation Schedule. viii) Grievance mechanism. ix) Monitoring and Evaluation. The RAP will be prepared by a qualified consultant or consultancy firm (procured by PMO- RALG) following the guidelines in this RPF. 4.1.3 Consultation and participatory approach A participatory approach is adopted to initiate the compensation process. The consultations must start during the planning stages when the technical designs are being developed, and at the land selection/screening stage. The process therefore seeks the involvement of PAPs throughout the census for identifying eligible PAPs and throughout the RAP preparation process. 4.1.4 Disclosure and notification All eligible PAPs are informed about the Tanzania Strategic Cities Project – Additional Financing and the RAP process. A cut-off date is established as part of determining PAPs eligibility. In special cases where there are no clearly identifiable owners or users of the land or asset, the RAP team must notify the respective local authorities and leaders. A “triangulation� of information – affected persons; community leaders and representatives; and an independent agent (e.g. local organization or NGO; other government agency; land valuer) – may help to identify eligible PAPs. The RAP must notify PAPs about the established cut-off date and its significance. PAPs must be notified both in writing and by verbal notification delivered in the presence of all the relevant stakeholders. 4.1.5 Documentation and verification of land and other assets The government authorities at both national and local levels; community elders and leaders; representatives from the Tanzania Prime Minister’s Office, Regional Administration and Local Government (PMO-RALG)will arrange meetings with PAPs to discuss the compensation and 36 valuation process. For each individual or household affected by the sub-project, the RAP preparation team will complete a Compensation Report containing necessary personal information on the PAPs and their household members; their total land holdings; inventory of assets affected; and demographic and socio-economic information for monitoring of impacts. This information will be documented in a Report, and ideally should be “witnessed� by an independent or locally acceptable body (e.g. Resettlement Committee). The Reports will be regularly updated and monitored. 4.1.6 Compensation and valuation All types of compensation will be clearly explained to the individual and households involved. These refer especially to the basis for valuing the land and other assets. Methods of valuing affected assets The method recommended in this RPF(Part VII)are full replacement value added with allowances. The Valuer shall adopt the Replacement Cost Method i.e. cost of replacement or selling the affected property (e.g. cost of construction materials, price of buying and selling land and transportation costs, labour) at the date of valuation. Market prices will be monitored within the time period that compensation is being made to allow for adjustments in compensation values. Individual and household compensation will be made in cash, in kind, and/or through assistance. The type of compensation will be an individual choice although every effort will be made to instil the importance and preference of accepting in kind compensation if the loss amounts to more that 20 percent of the total loss of subsistence assets. Once such valuation is established, PMO-RALG will produce a Contract or Agreement that lists all property and assets being acquired by the sub-project and the types of compensation selected. Entitlement Matrix Table 3below provides a sample of entitlements that are eligible for compensation. Under this RPF compensation items include value of the land; value of un-exhausted improvements (dwelling house, other house structures, trees, crops, hedges/fences and other properties). Compensation will be effected for any loss of interest on land and includes various kinds of allowances: disturbance, transport, accommodation and loss of profit. The options for compensation include in-kind (e.g. replacement housing) and cash compensation. All compensation should occur in the presence of the affected persons and the community local leaders. 37 Table 3Entitlement Matrix for TSCP-AF Entitlement Matrix Land and Assets Types of Impact Person(s) Affected Compensation/Entitlement/Benefits Agricultural land Land under cultivation Farmer/ title holder Cash compensation for affected land equivalent to replacement value Less than 20% of land holding affected Land remains economically viable. Tenant/ lease holder Cash compensation for the harvest or product from the affected land or asset, equivalent to average market value of last 3 years, or market value of the crop for the remaining period of tenancy/ lease agreement, whichever is greater. Greater than 20% of land holding Farmer/ Title holder Land for land replacement where feasible, or compensation in cash lost for the entire landholding according to PAP’s choice. Land does not become Land for land replacement will be in terms of a new parcel of land of economically viable. equivalent size and productivity with a secure tenure status at an available location which is acceptable to PAPs. Transfer of the land to PAPs shall be free of taxes, registration, and other costs. Relocation assistance (costs of shifting + assistance in re- establishing economic trees + allowance up to a maximum of 12 months while short- term crops mature ) Relocation assistance (costs of shifting + assistance in re- establishing economic trees + allowance up to a maximum of 12 months while short- term crops mature ) Tenant/Lease holder Cash compensation equivalent to average of last 3 years’ market value for the mature and harvested crop, or market value of the crop for the remaining period of tenancy/ lease agreement, whichever is greater. 38 Entitlement Matrix Land and Assets Types of Impact Person(s) Affected Compensation/Entitlement/Benefits Relocation assistance (costs of shifting + assistance in re- establishing economic trees + allowance up to a maximum of 12 months while short- term crops mature Relocation assistance (costs of shifting + assistance in re- establishing economic trees + allowance up to a maximum of 12 months while short- term crops mature ) Relocation assistance (costs of shifting + allowance). Commercial Land Land used for business partially Title holder/ business Cash compensation for affected land affected owner Opportunity cost compensation equivalent to 5% of net annual Limited loss income based on tax records for previous year (or tax records from comparable business, or estimates where such records do not exist). Business owner is Opportunity cost compensation equivalent to 10% of net annual lease holder income based on tax records for previous year (or tax records from comparable business, or estimates where such records do not exist) Assets used for business severely Title holder/business Land for land replacement or compensation in cash according to affected owner PAP’s choice. Land for land replacement will be provided in terms of a new parcel of land of equivalent size and market potential with a If partially affected, the remaining secured tenure status at an available location which is acceptable to assets become insufficient for the PAP. business purposes Transfer of the land to the PAP shall be free of taxes, registration, and other costs. Relocation assistance (costs of shifting + allowance) Opportunity cost compensation equivalent to 2 months net income based on tax records for previous year (or tax records from comparable business, or estimates) Business person is Opportunity cost compensation equivalent to 2 months net income lease holder based on tax records for previous year (or tax records from comparable business, or estimates), or the relocation allowance, whichever is higher. Relocation assistance (costs of shifting) 39 Entitlement Matrix Land and Assets Types of Impact Person(s) Affected Compensation/Entitlement/Benefits Assistance in rental/ lease of alternative land/ property (for a maximum of 6 months) to re-establish the business. Residential Land Land used for residence partially Title holder Cash compensation for affected land affected, limited loss Remaining land viable for present use. Rental/lease holder Cash compensation equivalent to 10% of lease/ rental fee for the remaining period of rental/ lease agreement (written or verbal) Title holder Land for land replacement or compensation in cash according to PAP’s choice. Land for land replacement shall be of minimum plot of acceptable size under the zoning law/ s or a plot of equivalent size, whichever is larger, in either the community or a nearby resettlement area with adequate physical and social infrastructure systems as well as secured tenure status. When the affected holding is larger than the relocation plot, cash compensation to cover the difference in value. Transfer of the land to the PAP shall be free of taxes, registration, and other costs. Relocation assistance (costs of shifting + allowance) Land and assets used for residence Rental/lease holder Refund of any lease/ rental fees paid for time/ use after date of severely affected removal Remaining area insufficient for Cash compensation equivalent to 3 months of lease/ rental fee continued use or becomes smaller than minimally accepted under Assistance in rental/ lease of alternative land/ property zoning laws Relocation assistance (costs of shifting + allowance) Buildings and Structures are partially affected Owner Cash compensation for affected building and other fixed assets structures Remaining structures viable for Cash assistance to cover costs of restoration of the remaining 40 Entitlement Matrix Land and Assets Types of Impact Person(s) Affected Compensation/Entitlement/Benefits continued use structure Rental/lease holder Cash compensation for affected assets (verifiable improvements to the property by the tenant). Disturbance compensation equivalent to two months rental costs Entire structures are affected or Owner Cash compensation for entire structure and other fixed assets without partially affected depreciation, or alternative structure of equal or better size and quality in an available location which is acceptable to the PAP. Remaining structures not suitable for continued use Right to salvage materials without deduction from compensation Relocation assistance (costs of shifting + allowance) Rehabilitation assistance if required (assistance with job placement, skills training) Rental/lease holder Cash compensation for affected assets (verifiable improvements to the property by the tenant) Relocation assistance (costs of shifting + allowance equivalent to four months rental costs) Assistance to help find alternative rental arrangements Rehabilitation assistance if required (assistance with job placement, skills training) Squatter/informal Cash compensation for affected structure without depreciation dweller Right to salvage materials without deduction from compensation Relocation assistance (costs of shifting + assistance to find alternative secure accommodation preferably in the community of residence through involvement of the project Alternatively, assistance to find accommodation in rental housing or in a squatter settlement scheme, if available) Rehabilitation assistance if required assistance with job placement, skills training) 41 Entitlement Matrix Land and Assets Types of Impact Person(s) Affected Compensation/Entitlement/Benefits Street vendor Opportunity cost compensation equivalent to 2 months net income (informal without based on tax records for previous year (or tax records from title or lease to the comparable business, or estimates), or the relocation allowance, stall or shop) whichever is higher. Relocation assistance (costs of shifting) Assistance to obtain alternative site to re- establish the business. Standing crops Crops affected by land acquisition PAP (whether owner, Cash compensation equivalent to average of last 3 years market or temporary acquisition or tenant, or squatter) value for the mature and harvested crop. easement Trees Trees lost Title holder Cash compensation based on type, age and productive value of affected trees plus 10% premium Temporary Temporary acquisition PAP (whether owner, Cash compensation for any assets affected (e. g. boundary wall Acquisition tenant, or squatter) demolished, trees removed) 42 4.1.7 Community payments Although most sub-projects do not normally take land and other assets belonging to a community, such as a community centre, school, or sacred site, if this occurs in a sub-project, the community (as a whole) will be compensated. This compensation will be in the form of reconstruction of the facility (in case of damages) or replacement at least the same standard or equivalent or better standard required by local planning regulation. Examples of community compensation expansion of grazing grounds; rehabilitation of school buildings, public toilets, health facilities; installation of wells or pumps; creation of market places; and reconstruction of community roads. Some sub-projects may require land take in areas where communities use as a graveyard. Compensation in such situations will be in the form of relocation of the graves including labour, ceremonial activities and re-burial costs. 4.2 Grievance Mechanism The sub-project RAP team will establish an independent grievance mechanism. This may be set up through Local Authorities, including a Resettlement or Land Committee and through community leaders. All PAPs will be informed about how to register grievances or complaints (Annex 3 for example of a grievance form), including specific concerns about compensation and relocation. The PAPs should also be informed about the dispute resolution process, specifically about how the disputes will be resolved in an impartial and timely manner. The RAP Team will produce a Report containing a summary of all grievances. If needed, the dispute resolution process should include Tanzanian Courts of Law, but traditional institutions can be an effective first step in both receiving and resolving grievances. 43 5 OPERATIONAL PROCEDURES 5.1 Stakeholder Analysis Relevant stakeholders involved in the implantation of the TSCP-AF include: 1. National Ministries: PMORALG and MLHHSD 2. Local Government Authorities: Participating LGAs and CDA from Council staff to Ward and sub-ward (Mitaa) level officers. 3. Community in the sub-project area i.e. residents, owners of lands/assets and users of land/assets within the sub-project area 5.2 Subproject Compensation and Resettlement Management Structure Identification and prioritization of sub-projects / selection of sites: This will be the function of recipient urban LGAs/ CDA who have developed their own funding proposals on a demand – driven basis. Priority urban infrastructures were drawn from consultations along with residents and other urban stakeholders. In some cases the selection was influenced by technical considerations provided by LGA sector specialists and consultant / design engineers. Provision of land: Subprojects will be mostly sited on existing infrastructure. Where land is required, i.e. expansion or extension, the subproject will utilize land designated by LGA or land acquired from individuals. Compensation procedures and payment of compensation costs by LGAs / CDA will be in accordance with RAPs prepared for respective subprojects. Designs: Detailed designs will be contracted to consulting firms. Procurement / contract awarding procedures include capability/experience in resettlement impacts mitigation / integration into designs. Project Teams coordinated by Municipal Engineers) and RAP teams coordinated by Land Officers and including Community Development Officers will work with the design consulting team to enable synergy of skills and knowledge. Preparation and approval of compensation and resettlement management instruments: The qualified consulting firms will be tasked with preparation of the safeguards reports (updating or developing ESIA reports and associated RAPs and integration into designs for prioritized sub- projects in each LGA. The completed subprojects were subjected to environmental and social impact assessment following national EIA procedure and the BANK policies. Each participating TSCP LGA was issued EIA Certificate. Following recommendation from the ESIA, RAPs were prepared for sub- projects identified to cause resettlement issues. Chief Government Valuer (in the Ministry of 44 Lands, Housing and Human Settlement Development (MLHHSD) – endorsed compensation schedules included in the subproject RAPs before implementation. A similar arrangement has been adopted for this RPF. Preparation and approval of RAPs and subsequent implementation of the plans will be under the urban authority RAP Team coordinated by Land Officer and working closely with the Municipal Engineers (and staff from sector responsible for the sub-project). LGA RAP committee will comprise of the following LGA staff: o Land Officer, o Valuer, o Community Development Officer, o Health Officer, o Ward Executive Officer and o Mtaa Executive Officer The RAP team will work closely respective Regional and District Commissioners; as well as with local RAP and grievance committees. PMO-RALG will continue to organized technical assistance and training to participants as relevant. Execution of works: Urban infrastructure works will be undertaken by LGAs through Contractors. LGAs and CDA will continue to make in kind contributions in the form of staff time. Community contribution (as condition of construction commencement) – is not a requirement under TSCP because, in urban settings, it could lead to delays. Construction supervision of the works: Construction supervision consultancies will be procured to assist LGAs and CDA to supervise investment subprojects and to transfer skills to technical staff. Support will be provided to assist LGAs in the implementation of the RAPs prior to commencement of construction contracts including payment of compensation costs. Management / maintenance: Infrastructure, once complete, will be maintained by respective LGAs. These tasks are long-term and will be done by LGA sector specialists. Monitoring of operations aspects of the RAP: the role will be played by LGA RAP Team and Grievance Committees. Operation supervision to assist LGAs in the implementation and monitoring of operations of sub-projects will continue to be provided by PMO-RALG. Reviews and Audits After a period of implementation, the RAP implementation of the subproject should be subject to annual reviews. PMO-RALG will support reviews of RAP implementation using external / independent reviewers. 45 6 METHODS FOR VALUING ASSETS 6.1 Organization Procedures The qualified consulting firms will be tasked with preparation of the RAPs and integration into designs for prioritized sub-projects in each LGA. The Consultant shall use a Qualified Valuer to take inventory of affected assets and to value the cost for compensation. Once such valuation is established, the Tanzania Prime Minister’s Office, Regional Administration and Local Government (PMO-RALG) will produce a Contract or Agreement that lists all property and assets being acquired by the sub-project and the types of compensation selected. The Chief Government Valuer (in the Ministry of Lands, Housing and Human Settlement Development (MLHHSD) will endorse compensation schedules included in the subproject RAPs before implementation. 6.2 Methods for Valuation The calculation of compensation and other resettlement allowances for displaced property owners is based on directives of the Land Act, 1999 and Land (Assessment of Value of Land for Compensation) Regulations, 2001. The Act / Regulations stipulate compensation to be paid is the market value of the affected land, structure or asset (direct comparison method) and standing crops (earnings approach) as determined by the valuation assessments. This generally, is in agreement with resettlement measures required by the WB OP4.12 which recommends compensation at full replacement value (not depreciated) and replacement of land for land where appropriate. In this RPF recommended compensation is full replacement value added with allowances. Valuations methods for affected land and assets would depend on the type of asset. The land asset types identified under Tanzania law in this policy framework are:  State Land (not within the jurisdiction of a village)  Village Land, (including customary rights of villagers) 6.2.1 Methods for Valuing State Owned Land State owned land if not in use would be allocated free (perhaps except for surveying and registration fees). However, the TSCP-AF sub projects would be expected to pay to acquire land in this category in cases where the state-owned land is being used by another user. This is because, although state owned, the land may be used by individuals and/or community. The guiding principle is that whoever was using the land to be acquired by the sub project would be provided other land of equal size and quality. 46 6.2.2 Methods for valuing Assets held under Customary Rights on State Owned Land Assets held under customary rights on state owned land would have to be valued according to the following method and compensation paid: the respective Planning Authorities (LGA) will value and the Potential Developers will duly compensate for assets and investments, including land, labor, crops, buildings, and other improvements, according to the provisions of the resettlement and compensation plan. Compensation rates will be market rates as of the date and time that the replacement is to be provided. The current prices for cash crops would have to be determined. Compensation would be based on valuation at or before the entitlement cutoff date in compliance with this policy. 6.2.3 Valuation of Various Categories of Assets and Relocation Assistance The Valuer should conduct market survey to determine the current replacement costs and open market values. For this RPF, the Valuer adopt the Replacement Cost Method i.e. cost of replacement or selling the affected property (e.g. cost of construction materials, price of buying and selling land and transportation costs, labour) at the date of valuation. To this various allowances will be added according to legitimate claims, and the type of loss incurred. The Valuation Division in the Ministry of Lands and Human Settlement Development has developed guidelines on methodologies for valuing properties and compensation rates for crop including various fruits. 6.2.4 Market value of the real property (i.e. value of un-exhausted improvement and land) These will have been arrived at either on: o Market Value Basis- by Direct Comparison Valuation Technique o Earnings Approach o Cost Approach. (i) Buildings Replacement cost - entail re-building a similar building to one displaced by the project (same design and layout, specifications, standard of workmanship. Allowance for factors affecting property market value is considered as adjustments but not depreciation factor. (ii) Land Values are assessed based on the average price of land at specific area. (iii)Crops Use the crop compensation rates including various fruits developed by the Valuation Division in the Ministry of Lands and Human Settlement Development; also available at Region/District Valuation office. 47 6.2.5 Relocation allowances (i) Disturbance allowance: This is transitional assistance - provided to eligible property ownerspaid in addition to the compensation value of the affected assets/properties. Disturbance is paid in the following situations: o In the case of an individual property/land owner whose property/land is being acquired for the proposed project or o Where an earmarked project site has been subsequently abandoned in favor of another site and the landowner of the abandoned site was required to relinquish his interest over the land. o Where during the course of executing the proposed project an individual’s interest in land suffered proven physical damage/disturbance. Disturbance shall be assessed as a percentage of the value of the property acquired as provided by the Land Act No. 4 of 1999. The Valuer calculate disturbance allowance accordingly by multiplying the assessed value of the affected “estate� (i.e. land not assets) by the average percentage rate of interest offered by commercial banks on twelve month fixed deposits. These amounts, in cash, are to be paid to each property owner. (ii) Accommodation allowance This is cash allowance provided to displaced people who lose houses and other structures. The allowance will enable them to cover cost for renting similar houses or structures for a period of three years while re-establishing themselves elsewhere. The Valuer calculate accommodation allowance by multiplying the assessed monthly market rent (applied value bands based on a market survey of rental properties in the respective project coverage areas) for the affected building or part of the building by 36 months (i.e. Rent/p.m. x 36 Months). (iii)Transport allowance Provided to eligible property owners who will need to relocate (even if only over a very short distance) their movable properties and assets – furniture, equipment, and business goods to a new location. The transport allowance paid in cash – only to PAPs, who are to physically move, is the equivalent of the prevailing cost of hauling 12t of goods by rail or road over a distance of 20km from the point of displacement. Transport allowances shall be actual cost of transporting 12tons of luggage rail or road (whichever is cheaper) within 20 kilometres from the point of displacement (i.e. 12tons x Actual Cost/ton/km x 20km). 6.2.6 Compensation for loss of income (rental accommodation, business profit, crops): Payment to displaced person the loss of profit allowance whereas a business or income generating operation is affected by land acquisition. The regulation require the loss of profit allowance to be calculated as the net monthly profit of the business carried out on the affected property, as evidenced by audited accounts, where available, multiplied by 36 months (i.e.Net Profit/p.m. x 36 Months). 48 Another alternative payment mode is payment of half of turnover for 6 months. Whereas the property owner lose rental income (due to displacement of house or business premise tenants), he/she is paid lump sum cash payments of 6 months' rent per tenant. NOTE: o Many of the affected businesses could be small enterprises without proper records so the Valuer could substitute the loss of profit allowance with lose of accommodation allowance. o Loss of income or food sources in respect of small plot farmers could be covered by cash compensation paid for standing crops and trees. 6.2.7 Calculation of total compensation figure/ inflation premium for 6 months delay Property replacement cost (calculated differently for houses, structures, crops and trees) + land values + accommodation allowance + transport allowance + disturbance allowance (+ loss of profit where applicable). Thus, a customary landowner or land user on state-owned land will be compensated for land, assets, investments, loss of access etc. at market rates at the time of the loss. If payment is delayed by more than six months, an inflation premium, equal to 1% plus the official rate of inflation (using consumer price index, CPI), will be added to the agreed upon sum. NOTE: o Transport, Accommodation and Loss of profits allowances shall not be paid for unoccupied land. o Accommodation and Loss of profit shall not be paid concurrently in respect of the same propertyexcept where the property is used for both residential and business purposes. o Accommodation and Loss of profit shall only be paid to the property owner and not tenant(s). 6.2.8 Forms of compensation payments To settle compensation payments for the loss of assets, in accordance with OP.4.12, compensation may be made any and/or more of the following forms: a. Cash payments – compensation calculated and paid in Tanzania shillings b. In kind-compensation may include item such as land, houses/other buildings, building materials, seedlings, agricultural inputs and financial credits for equipment. c. Assistance – to include moving allowance, transportation and Labour. Thus, Individual and household compensation will be made in cash, in kind, and/or through assistance. The type of compensation will be an individual choice although every effort will be made to instil the importance and preference of accepting in kind compensation if the loss amounts to more that 20 percent of the total loss of subsistence assets. 49 Making compensation payments raises some issues regarding inflation, security and timing that must be considered. One purpose of providing in-kind compensation is to reduce inflationary pressures on the costs of goods and services. Local inflation may still occur, thus market prices will be monitored within the time period that compensation is being made to allow for adjustments in compensation values. The question of security, especially for people who will be receiving cash compensation payments needs to be addressed by the Potential Developers and respective Local Planning Authorities. The time and place for in-kind compensation payments will be decided upon by each recipient in consultation with the Potential Developers and Planning Authorities. Compensation and Project (Civil Works) Schedule Before any sub-project activity is implemented, people who are affected and have been determined to be entitled to compensation will need to be compensated in accordance to the policy and the resettlement policy framework. In particular, the taking of land and related assets may take place only after compensation has been paid and, where applicable, resettlement sites and moving allowances have been provided to displaced persons. Sub-projects involving land acquisition: Measures include provision of compensation and of other assistance required for relocation, prior to displacement, and preparation and provision of resettlement sites with adequate facilities, where required. Sub-projects activity requiring relocation or loss of shelter: Measures to assist the displaced persons be implemented in accordance with the sub project’s resettlement plan of action. The measures to ensure compliance with this policy directive will be included in the RAPs that will be prepared for each sub-project involving resettlement or compensation. Upon approving the RAP reports prepared, PMORALG will confirm that the resettlement and compensation plans contain acceptable measures that link resettlement and compensation activity to civil works in compliance with this policy. The RAP Team shall prepare a schedule of chronological steps covering all resettlement and compensation activities from preparation through implementation and agencies responsible for each activity (Figure 1). The schedule should indicate how the resettlement activities are linked to the implementation of the overall project. The schedule should also include target dates for the achievement of expected benefits to PAPs and hosts and terminating the various forms of assistance. An example of a RAP implementation schedule is presented in Figure 1 below. 50 Figure 1: Example of a RAP implementation schedule No Action Time frame Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec 1 RAP Implementation 1.1 Awareness raising meeting 1.2 Mobilisation 1.3 Preparation of plots for resettlement 1.4 Confirmation of PAPs and affected properties 1.5 Compensation payments 1.6 Addressing Grievances and Dispute Resolution 1.7 Monitoring of RAP implementation 1.8 Evaluation of RAP implementation 2 Procurement of Contractor 2.1 Tender award for supervision and construction 2.2 Mobilisation of contractor 3 Construction Works The timing mechanism of these measures will ensure that no individual or affected household will be displaced due to civil works activity before compensation is paid and resettlement sites with adequate facilities are prepared and provided for to the individual or household affected. Once the resettlement and compensation plan is approved by the project implementing institutions, the resettlement and compensation plan, will, at the discretion of the Bank, be sent to the World Bank for final review and approval. 7 BUDGET AND SOURCES OF FUNDING Since the specific sites and sub-projects are not yet determined, the estimated number of PAPs and costs for compensations is not known. Because costs of resettlement and compensation are based on technical designs and results of scoping, it is not possible to produce a detailed budget for RAP implementation for all sub-projects under TSCP-AF that triggers OP4.12. Once a budget is finalized for each subproject that triggers OP4.12, it will be subject to approval by the World Bank. 51 INDICATIVE BUDGET At this stage however, all that can be reasonably and meaningfully prepared is an indicative budget, highlighting key features that the budget must contain, inter alia, as follows; Table 4: Tentative Budget Budget item Amount (USD) Preparation of RAPs 60,000 Compensation for land 300,000 Compensation for immobilization and other assets 800,000 Assistance for transportation and other allowances 120,000 Cost of supervision 70,000 Cost of independent audit 50,000 Contingencies 100,000 Total estimated budget 1,500,000 Note: This budget is indicative and will be adjusted as needed during implementation and in accordance with the results of the surveys and socioeconomic studies that will be conducted for the RAPs. An example of a RAP budget outline can be found in Table below. The preparation and implementation of the RAP is usually financed in-country through the administrative and financial management rules and manuals issued by the Government of Tanzania. Such sources could include:  Annual Council budgets approved through parliament  Local taxes and levies collected in the LGA  Other donor funding 52 Table 5: Indicative Outline of a RAP Budget Asset acquisition Amount or number Total estimated cost Agency responsible Land Structure Crops and economic tress Community infrastructure Land Acquisition and Preparation Land Structures Crops areas and others Community infrastructure Relocations Transfer of possessions Installation costs Economic Rehabilitation Training Capital Investments Technical Assistance Monitoring Contingency # Item Costs Assumptions 1 Compensation for loss of Land For land acquisition purposes, based on Tanzanian average market cost, or from /hectare similar projects 2 Compensation for loss of Crops Includes costs of labour invested and average of highest price of staple food /hectare of farm lost crops and Tanzanian market prices 5 Compensation for Buildings and Structures This compensation may be in-kind or cash. Costs for basic housing needs If applicable should include ventilated pit latrines, outside kitchen, and storage. 6 Compensation for Trees Includes costs of labour invested and average of highest price of trees (and tree /year/tree products) and Tanzanian market prices 7 Cost of Relocation Assistance/Expenses /household This cost reflects the moving and transportation allowance 8 Cost of Restoration of Individual Income Assumed to be higher than the GDP/capita in Tanzania 9 Cost of Restoration of Household Income These costs reflect the livelihood restoration program of the RAP 10 Cost of Training PAPs This is a mitigation measure involving capacity building and involves PAPs and affected communities 53 8 CONSULTATION AND STAKEHOLDER PARTICIPATION 8.1 Involving Stakeholders Public consultations in relation to the RAP occur at all stages, starting with inception and planning when the potential lands and alternative sites are being considered. A participatory approach is adopted as an on-going strategy throughout the entire project cycle. Public participation and consultations take place through individual, group, or community meetings. Additionally, radio programs and other media forms may be used to further disseminate information. PAPs are consulted in the survey process; public notices where explanations of the sub-project are made; RAP implementation of activities; and during the monitoring and evaluation process. Selection of ways to consult, and expand participation by PAPs and other stakeholders, will take into consideration literacy levels prevalent in affected communities; ethnicity and cultural aspects; and practical conditions (like distance). The role of traditional political and cultural leaders, including the community elders, in the participation strategy will be important. The RAP team should ensure that these leaders and local representatives of PAPs are fully involved in designing the public consultation procedures. 8.1.1 Data Collecting Phase Consultations during preparation, in particular, the collection of background information, and the social survey or social assessment, are critical for successful data collection. The levels of consultation will vary from households to community groups, based on the particular context of the sub-project(s). The RAP team will design the questionnaires but it will be the households, organizations, and institutions that will validate their effectiveness through feedback. Focus group meetings with women, associations for local businesses, individuals who own shops, stalls, etc, as well as primary and/or secondary schools, health centres are good sources for establishing the community baseline situation. 8.1.2 Implementation Phase During implementation, PAPs will be informed about their rights and options. The grievance mechanism will continue to operate and all grievances will be recorded. The participation of local leaders and PAPs in disseminating information and resolving disputes will be important once RAP implementation starts. A dynamic participatory approach involves PAPs in decision making about livelihood and community development programs. 8.1.3 Monitoring and Evaluation Phase PAPs representatives will participate in the sub-project workshops at mid-term and at the end of RAP implementation. To the extent possible, the RAP should include social accountability tools 54 like citizen report cards to assess the quality of RAP implementation, and in some cases, assist the RAP team in tracking expenditures. The latter would be significant in helping PAPs with money management and restoring their livelihoods. PAPs will be able to suggest corrective measures, as needed, to improve RAP implementation in the sub-project(s). Prior to closing the RAP, PAPs will participate in a feedback survey as part of the RAP’s independent impact evaluation exercise. 8.2 Documenting Consultation and Participation Meeting minutes for each consultation meeting should be recorded to enable the preparation of a consultation report. (Annex 4). 9 MONITORING AND EVALUATION 9.1 Content of Monitoring and Evaluation Program The RAP committee/team in the LGAs will be expected to develop and implement a Monitoring and Evaluation Plan (MEP). The main parameters that the MEP will measure include: (i) impacts on affected individuals, households, and communities to be maintained at their pre-project standard of living, and better; (ii) improvement of communities affected by the project; and (iii) management of disputes or conflicts. In order to measure these parameters, the RAP for each subproject identifies the specific indicators to be monitored; defines how they will be measured on a regular basis; and identifies key monitoring milestones (e.g. at mid-point of the RAP implementation process). The PMO-RALG will establish a reporting system for the sub-project RAP that will: (i) Provide timely information to the project about all resettlement and compensation issues arising as a result of RAP related activities; (ii) Identify any grievances, especially those that have not yet been resolved at the local level and which may require resolution at the higher levels (e.g. by the WBWG or higher); (iii) Document completion of project resettlement and compensation that are still pending, including for all permanent and temporary losses; (iv) Evaluate whether all PAPs have been compensated in accordance with the requirements of this RPF and that PAPs have better living conditions and livelihoods; and (v) Identify mitigation measures, as necessity, when there are significant changes in the indicators that may require strategic interventions (e.g. vulnerable groups are not receiving sufficient support from the sub-project). 55 9.2 Mechanisms for Monitoring During RAP implementation, the RAP committee in each relevant LGA will monitor basic information on all physical or economic displacement arising from the sub-project. This includes an update, for example on a quarterly basis, of the following: (i) Number of sub-projects requiring preparation of a RAP; (ii) Number of households and individuals physically or economically displaced by each sub-project; (iii) Length of time from sub-project identification to payment of compensation to PAPs; (iv) Timing of compensation in relation to commencement of physical works; (v) Amount of compensation paid to each PAP household (if in cash), or the nature of compensation (if in kind); (vi) Number of people raising grievances in relation to each sub-project; (vii) Number of unresolved grievances. (viii) Ability of individuals and families to re-establish their pre-displacement activities, land and crops or other alternative incomes. Crops in this case relate more to urban agriculture land acquired including mango, coconut, cashew, orange trees etc. The PMO-RALG will also hire independent consultant to monitor and report on the RAP implementation process. 9.3 Mechanisms for Evaluation (Internal and External) The impact evaluation will determine: (i) If compensation payments have been completed in a satisfactory manner; and (ii) If there are improvements in livelihoods and well-being of PAPs. Several indicators are used to measure these impacts. These include, among others, a comparison of income levels before-and-after; access to livelihoods and employment; changes in standards of housing and living conditions; and improvements in level of participation in sub-project activities. There are measures to verify these basic indicators, such as number of children in- school (compared to pre-RAP levels); changes in health standards; and changes in access to markets or roads – all of which may reflect overall improvements in standards of living. The PIU at PMO-RALG will review these statistics to determine whether the RAP implementation arrangements, as defined in this RPF, are effective in addressing RAP related issues. Financial records will be maintained by the sub-projects and the PIU, to determine the final cost of RAP implementation. The following indicators (in Table 4) can be used to monitor implementation of the RAP. 56 Table 4: Indicators of monitoring and evaluating RAP Impacts Monitoring (of Issues) Evaluation (of Impacts) Number of compensation (and valuation) Changes (+/-) in PAPs conditions during completed transition process Number of sub-projects unable to settle Changes (+/-) in PAPs income and livelihood compensation before planned construction conditions date Number of grievances filed Quality of grievances or disputes resolved (qualitative) Number of livelihood restoration programs Changes (+/-) in affected households income completed levels Pre project production versus present Equal or improved production per affected production levels ( crops for crops, land for household/homestead land) 8.4 Independent Annual Audit The annual audit of RPF implementation, and as applicable RAP implementation in sub- project(s), includes: (i) a summary of RAP performance of each sub-project; (ii) a compliance review of RAP implementation process; and (iii) a progress report on the quality of RAP implementation in terms of application of guidelines provided in this RPF. The audit will verify results of monitoring of RAP implementation indicators, and assess whether the project achieved the resettlement objectives. The aim is to learn lessons for application to future sub-projects or other projects in the sector and in the country. 57 ANNEXES ANNEX 1: World Bank Resettlement Policy Framework (RPF) ANNEX 2: Annotated Outline for Preparing a Resettlement Action Plan (RAP) ANNEX 3: Sample Grievance and Resolution Form ANNEX 4: Sample Table of Contents for Consultation Reports ANNEX 5: Glossary of Terms ANNEX 6: Relevant Laws 58 ANNEX 1: World Bank Resettlement Policy Framework (RPF) [Excerpt from the World Bank OP4.12 Involuntary Resettlement, Revised April 2004] These policies were prepared for use by World Bank staff and are not necessarily a complete treatment of the subject. OP 4.12 (Revised April 2004) applies only to projects that are governed by OP / BP 6.00,Bank Financing - that is, those in countries with approved country financing parameters. Other operational policy statements governing Bank financing that have been amended to reflect OP/BP 6.00 also apply to these projects. Projects in countries without approved country financing parameters continue to be subject to other operational policy statements governing Bank financing. Resettlement Policy Framework For sector investment operations that may involve involuntary resettlement, the Bank requires that the project implementing agency screen subprojects to be financed by the Bank to ensure their consistency with this OP. For these operations, the borrower submits, prior to appraisal, a resettlement policy framework that conforms to this policy (see Annex Ahttp://wbln0011.worldbank.org/Institutional/Manuals/OpManual.nsf/OPolw/C19E5F010F97E0 4485256B180070DD3E?OpenDocumenthttp://lnweb18.worldbank.org/Institutional/Manuals/Op Manual.nsf/58AA50B14B6BC071852565A30061BEB6/46FC304892280AB785256B19008197 F8?OpenDocumenthttp://wbln0018.worldbank.org/Institutional/Manuals/OpManual.nsf/whatne wvirt/CA2D01A4D1BDF58085256B19008197F6?OpenDocument, paragraphs 23-25). The framework also estimates, to the extent feasible, the total population to be displaced, and the overall resettlement costs. For financial intermediary operations that may involve involuntary resettlement, the Bank requires that the financial intermediary (FI) screen subprojects to be financed by the Bank to ensure their consistency with this OP. For these operations, the Bank requires that before appraisal the borrower or the FI submit to the Bank a resettlement policy framework conforming to this policy (see Annex Ahttp://wbln0011.worldbank.org/Institutional/Manuals/OpManual.nsf/OPolw/C19E5F010F97E0 4485256B180070DD3E?OpenDocumenthttp://lnweb18.worldbank.org/Institutional/Manuals/Op Manual.nsf/58AA50B14B6BC071852565A30061BEB6/46FC304892280AB785256B19008197 F8?OpenDocumenthttp://wbln0018.worldbank.org/Institutional/Manuals/OpManual.nsf/whatne wvirt/CA2D01A4D1BDF58085256B19008197F6?OpenDocument, paragraphs 23-25). In addition, the framework includes an assessment of the institutional capacity and procedures of each of the FIs that will be responsible for subproject financing. When, in the assessment of the Bank, no resettlement is envisaged in the subprojects to be financed by the FI, a resettlement policy framework is not required. Instead, the legal agreements specify the obligation of the FIs to obtain from the potential sub-borrowers a resettlement plan consistent with this policy if a subproject gives rise to resettlement. For all subprojects involving resettlement, the resettlement plan is provided to the Bank for approval before the subproject is accepted for Bank financing. For other Bank-assisted project with multiple subprojectshttp://wbln0011/Institutional/Manuals/OpManual.nsf/58AA50B14B6BC071852565A 30061BEB6/8BC51CC87982E5BD85256B18006D964D?OpenDocument26that may involve 59 involuntary resettlement, the Bank requires that a draft resettlement plan conforming to this policy be submitted to the Bank before appraisal of the project unless, because of the nature and design of the project or of a specific subproject or subprojects (a) the zone of impact of subprojects cannot be determined, or (b) the zone of impact is known but precise sitting alignments cannot be determined. In such cases, the borrower submits a resettlement policy framework consistent with this policy prior to appraisal (see Annex Ahttp://lnweb18.worldbank.org/Institutional/Manuals/OpManual.nsf/58AA50B14B6BC0718525 65A30061BEB6/46FC304892280AB785256B19008197F8?OpenDocumenthttp://wbln0018.wor ldbank.org/Institutional/Manuals/OpManual.nsf/whatnewvirt/CA2D01A4D1BDF58085256B190 08197F6?OpenDocument, paragraphs 23-25). For other subprojects that do not fall within the above criteria, a resettlement plan conforming to this policy is required prior to appraisal. For each subproject included in a project described in paragraphs 26, 27, or 28 that may involve resettlement, the Bank requires that a satisfactory resettlement plan or an abbreviated resettlement plan that is consistent with the provisions of the policy framework be submitted to the Bank for approval before the subproject is accepted for Bank financing. For projects described in paragraphs 26-28 above, the Bank may agree, in writing, that sub-project resettlement plans may be approved by the project implementing agency or a responsible government agency or financial intermediary without prior Bank review, if that agency has demonstrated adequate institutional capacity to review resettlement plans and ensure their consistency with this policy. Any such delegation, and appropriate remedies for the entity’s approval of resettlement plans found not to comply with Bank policy, is provided for in the legal agreements for the project. In all such cases, implementation of the resettlement plans is subject to ex post review by the Bank. 60 ANNEX 2: Annotated Outline for Preparing a Resettlement Action Plan (RAP) This template is extracted from OP 4.12 Annex A. Its full description can be found in the World Bank external website [WB OP4.12 Annex A]. The scope and level of detail of the RAP will vary depending on the magnitude and complexity of resettlement or displacement. The RAP is prepared based on the most recent and accurate information on the: (i) proposed resettlement and its impacts on displaced persons and other adversely affected groups; and (ii) legal issues affecting resettlement. The RAP covers elements that are specific to the project context. A broad outline of the RAP, as applied to sub-projects covered under a RPF includes, but is not limited to, the following: Description of the sub-project: General description of the sub-project and identification of sub-project area or areas. Potential Impacts: Identification of the: (i) the sub-project components or activities that require resettlement or restriction of access; (ii) zone of impact of components or activities; (iii) alternatives considered to avoid or minimize resettlement or restricted access; and (iv) mechanisms established to minimize resettlement, displacement, and restricted access, to the extent possible, during project implementation. Objectives: The main objectives of the resettlement program as these apply to the sub-projects. Socio-economic studies: The findings of socio-economic studies to be conducted in the early stages of project preparation, and with the involvement of potentially affected people will be needed. These generally include the results of a census of the affected populations covering: (i) Current occupants of the affected area as a basis for design of the RAP and to clearly set a cut-off date, the purpose of which is to exclude subsequent inflows of people from eligibility for compensation and resettlement assistance; (ii) Standard characteristics of displaced households, including a description of production systems, labour, and household organization; and baseline information on livelihoods (including, as relevant, production levels and income derived from both formal and informal economic activities) and standards of living (including health status) of the displaced population; (iii) Magnitude of the expected loss, total or partial, of assets, and the extent of displacement, physical or economic; (iv) Information on vulnerable groups or persons, for whom special provisions may have to be made; and (v) Provisions to update information on the displaced people’s livelihoods and st andards of living at regular intervals so that the latest information is available at the time of their displacement, and to measure impacts (or changes) in their livelihood and living conditions. There may be other studies that the RAP can draw upon, such as those describing the following: (i) Land tenure, property, and transfer systems, including an inventory of common property natural resources from which people derive their livelihoods and sustenance, non-title-based usufruct 61 systems (including fishing, grazing, or use of forest areas) governed by local recognized land allocation mechanisms, and any issues raised by different tenure systems in the sub project area; (ii) Patterns of social interaction in the affected communities, including social support systems, and how they will be affected by the sub-project; (iii) Public infrastructure and social services that will be affected; and (iv) Social and cultural characteristics of displaced communities, and their host communities, including a description of formal and informal institutions. These may cover, for example, community organizations; cultural, social or ritual groups; and non-governmental organizations (NGOs) that may be relevant to the consultation strategy and to designing and implementing the resettlement activities. Legal Framework: The analysis of the legal and institutional framework should cover the following: (i) Scope of existing land and property laws governing resources, including state-owned lands under eminent domain and the nature of compensation associated with valuation methodologies; land market; mode and timing of payments, etc; (ii) Applicable legal and administrative procedures, including a description of the grievance procedures and remedies available to PAPs in the judicial process and the execution of these procedures, including any available alternative dispute resolution mechanisms that may be relevant to implementation of the RAP for the sub-project; (iii) Relevant laws (including customary and traditional law) governing land tenure, valuation of assets and losses, compensation, and natural resource usage rights, customary personal law; communal laws, etc related to displacement and resettlement, and environmental laws and social welfare legislation; (iv) Laws and regulations relating to the agencies responsible for implementing resettlement activities in the sub-projects; (v) Gaps, if any, between local laws covering resettlement and the Bank’s resettlement policy, and the mechanisms for addressing such gaps; and (vi) Legal steps necessary to ensure the effective implementation of RAP activities in the sub-projects, including, as appropriate, a process for recognizing claims to legal rights to land, including claims that derive from customary and traditional usage, etc and which are specific to the sub-projects. The institutional framework governing RAP implementation generally covers: (i) Agencies and offices responsible for resettlement activities and civil society groups like NGOs that may have a role in RAP implementation; (ii) Institutional capacities of these agencies, offices, and civil society groups in carrying out RAP implementation, monitoring, and evaluation; and (iii) Activities for enhancing the institutional capacities of agencies, offices, and civil society groups, especially in the consultation and monitoring processes. Eligibility: Definition of displaced persons or PAPs and criteria for determining their eligibility for compensation and other resettlement assistance, including relevant cut-off dates. Valuation of and compensation for losses: The methodology to be used for valuing losses, or damages, for the purpose of determining their replacement costs; and a description of the proposed types and levels of compensation consistent with national and local laws and measures, as necessary, to ensure that these are based on acceptable values (e.g. market rates). 62 Resettlement Measures: A description of the compensation and other resettlement measures that will assist each category of eligible PAPs to achieve the objectives of OP 4.12. Aside from compensation, these measures should include programs for livelihood restoration, grievance mechanisms, consultations, and disclosure of information. Site selection, site preparation, and relocation: Alternative relocation sites should be described and cover the following: (i) Institutional and technical arrangements for identifying and preparing relocation sites, whether rural or urban, for which a combination of productive potential, location advantages, and other factors is at least comparable to the advantages of the old sites, with an estimate of the time needed to acquire and transfer land and ancillary resources; (ii) Any measures necessary to prevent land speculation or influx of eligible persons at the selected sites; (iii) Procedures for physical relocation under the project, including timetables for site preparation and transfer; and (iv) Legal arrangements for recognizing (or regularizing) tenure and transferring titles to those being resettled. Housing, infrastructure, and social services: Plans to provide (or to finance provision of) housing, infrastructure (e.g. water supply, feeder roads), and social services to host populations; and any other necessary site development, engineering, and architectural designs for these facilities should be described. Environmental protection and management: A description of the boundaries of the relocation area is needed. This description includes an assessment of the environmental impacts of the proposed resettlement and measures to mitigate and manage these impacts (coordinated as appropriate with the environmental assessment of the main investment requiring the resettlement). Community Participation: Consistent with the World Bank’s policy on consultation and disclosure, a strategy for consultation with, and participation of, PAPs and host communities, should include: (i) Description of the strategy for consultation with and participation of PAPs and hosts in the design and implementation of resettlement activities; (ii) Summary of the consultations and how Papas' views were taken into account in preparing the resettlement plan; and (iii) Review of resettlement alternatives presented and the choices made by PAPs regarding options available to them, including choices related to forms of compensation and resettlement assistance, to relocating as individual families or as parts of pre-existing communities or kinship groups, to sustaining existing patterns of group organization, and to retaining access to cultural property (e.g. places of worship, pilgrimage centres, cemeteries); and (iv) Arrangements on how PAPs can communicate their concerns to project authorities throughout planning and implementation, and measures to ensure that vulnerable groups (including indigenous peoples, ethnic minorities, landless, children and youth, and women) are adequately represented. The consultations should cover measures to mitigate the impact of resettlement on any host communities, including: (i) Consultations with host communities and local governments; (ii) Arrangements for prompt tendering of any payment due the hosts for land or other assets provided to PAPs; (iii) Conflict resolution involving PAPs and host communities; and 63 (iv) Additional services (e.g. education, water, health, and production services) in host communities to make them at least comparable to services available to PAPs. Grievance procedures: The RAP should provide mechanisms for ensuring that an affordable and accessible procedure is in place for third-party settlement of disputes arising from resettlement. These mechanisms should take into account the availability of judicial and legal services, as well as community and traditional dispute settlement mechanisms. RAP implementation responsibilities: The RAP should be clear about the implementation responsibilities of various agencies, offices, and local representatives. These responsibilities should cover (i) delivery of RAP compensation and rehabilitation measures and provision of services; (ii) appropriate coordination between agencies and jurisdictions involved in RAP implementation; and (iii) measures (including technical assistance) needed to strengthen the implementing agencies’ capacities of responsibility for managing facilities and services provided under the project and for transferring to PAPs some responsibilities related to RAP components (e.g. community-based livelihood restoration; participatory monitoring; etc). Implementation Schedule: An implementation schedule covering all RAP activities from preparation, implementation, and monitoring and evaluation should be included. These should identify the target dates for delivery of benefits to the resettled population and the hosts, as well as clearly defining a closing date. The schedule should indicate how the RAP activities are linked to the implementation of the overall project. Costs and budget: The RAP for the specific sub-projects should provide detailed (itemized) cost estimates for all RAP activities, including allowances for inflation, population growth, and other contingencies; timetable for expenditures; sources of funds; and arrangements for timely flow of funds. These should include other fiduciary arrangements consistent with the rest of the project governing financial management and procurement. Monitoring and evaluation: Arrangements for monitoring of RAP activities by the implementing agency, and the independent monitoring of these activities, should be included in the RAP section on monitoring and evaluation. The final evaluation should be done by an independent monitor or agency to measure RAP outcomes and impacts on PAPs’ livelihood and living conditions. The World Bank has examples of performance monitoring indicators to measure inputs, outputs, and outcomes for RAP activities; involvement of PAPS in the monitoring process; evaluation of the impact of RAP activities over a reasonable period after resettlement and compensation, and using the results of RAP impact monitoring to guide subsequent implementation. 64 ANNEX 3: Sample Grievance and Resolution Form Name (Filer of Complaint): __________________________________ ID Number: __________________________________ (PAPs ID number) Contact Information : __________________________________ (Village/Ward/Mtaa; mobile phone) Nature of Grievance or Complaint: _____________________________________________________________________________________ _____________________________________________________________________________________ Date Individuals Contacted Summary of Discussion ____________ __________________ ___________________________ Signature_______________________ Date: ____________ Signed (Filer of Complaint): ______________________________________ Name of Person Filing Complaint :__________________________( if different from Filer) Position or Relationship to Filer: __________________________________ Review/Resolution Date of Conciliation Session: ______________________________________ Was Filer Present? : Yes No Was field verification of complaint conducted? Yes No Findings of field investigation: _____________________________________________________________________________________ _____________________________________________________________________________________ Summary of Conciliation Session Discussion: __________________________________________________________________________ _____________________________________________________________________________________ ___________ Issues _____________________________________________________________________________ Was agreement reached on the issues? Yes No If agreement was reached, detail the agreement below: If agreement was not reached, specify the points of disagreement below: ____________________________________________________________________________________ Signed (Conciliator): ___________________________ Signed (Filer): ________________ Signed: ___________________________ Independent Observer Date: ___________________________ 65 ANNEX 4: Sample Table of Contents for Consultation Reports 1.0 Introduction. 1.1 Project Description 1.2 Applicable Laws, Regulations, and Policies to Public Engagement 1.3 Project Lenders 2.0 Stakeholder Analysis 2.1 Areas of Influence/Stakeholders 2.2 Description of Stakeholders 3.0 Stakeholder Engagement 3.1 Previous Consultation Activities 3.2 Implemented Community Engagement Activities 3.3 Project Sponsor’s Community Engagement Plan 3.3.1 Phase 1 – Initial Stakeholder Consultation 3.3.2 Phase 2 – Release of the SEA Terms of Reference and Draft PCDP 3.3.3 Phase 3 – Release of SEA Consultation Summary Report 4.0 Summary of Key Issues 5.0 Future Consultation Events 5.1 Phase 4 – Release of the SEA Report and Action Plans 5.2 Phase 5 – RCDAP Planning Consultation 5.3 Phase 6 - Ongoing Project Communication 6.0 Disclosure Plan Tables Table 2.1: Consultation Activity Summary Table 3.1: Initial Government Agency Consultations Table 3.2: Summary of NGO Meetings Table 3.3: Sub-County Committee Composition Table 3.4: Summary of Community Discussions Table 3.5: Local Community Comments Table 4.1: Summary of Key Issues and Responses Table 5.1: Summary of Future Consultation Activities per Stakeholder Group TEMPLATE Table on Consultation Activity Summary Location and Meeting Dates Attendees Discussion Summary Communities Represented 66 ANNEX 5: Glossary of Terms Census A field survey carried out to identify and determine the number of Project Affected Persons (PAPs) or Displaced Persons (DPs) as a result of land acquisition and related impacts. The census provides the basic information necessary for determining eligibility for compensation, resettlement, and other measures emanating from consultations with affected communities and the local government institutions. Compensation The payment in kind, cash or other assets given in exchange for the acquisition of land including fixed assets, is called compensation. These include other impacts resulting from activities to rehabilitate or cushion the impacts from displacement. Cut-off Date The cut-off date is the date of commencement of the census of PAPs or DPs within the EASP program area boundaries. This is the date on and beyond which any person whose land is occupied for EASP program, will not be eligible for compensation. Grievance The RPF contains a grievance mechanism based on policies and procedures that are Mechanism designed to ensure that the complaints or disputes about any aspect of the land acquisition, compensation, resettlement, and rehabilitation process, etc. are being addressed. This mechanism includes a procedure for filing of complaints and a process for dispute resolution within an acceptable time period. Implementation The RPF contains an implementation schedule that outlines the time frame for planning, Schedule implementation, and monitoring and evaluation of the RAPs for sub-projects, if applicable. Land Land refers to all types of agricultural and/or non-agricultural land and any structures thereon whether temporary or permanent and which may be acquired by the project. Land Acquisition Land acquisition means the possession of or alienation of land, buildings, or other assets thereon for purposes of the project. Project Affected Project affected persons (PAPs) or Displaced Persons (DPs) are persons affected by land and Persons (PAPs) or other assets loss as a result of EASP activities. These person(s) are affected because they Displaced Persons may lose, be denied, or be restricted access to economic assets; lose shelter, income sources, (DPs) or means of livelihood. These persons are affected whether or not they will move to another location. Most often, the term DPs applies to those who are physically relocated. These people may have their: standard of living adversely affected, whether or not the Displaced Person will move to another location ; lose right, title, interest in any houses, land (including premises, agricultural and grazing land) or any other fixed or movable assets acquired or possessed, lose access to productive assets or any means of livelihood. Project Impacts Impacts on the people living and working in the affected areas of the project, including the surrounding and host communities are assessed as part of the overall evaluation of the project. Project Some projects make use of project implementing units (PIUs), which are generally Implementing Unit separate units within the project recipient’s agency. The PIU is often composed of full (PIU) time staff devoted to implementing the project, and have been encouraged to have 67 separate teams with environment and social specialists who can carry out the activities, for example, as outlined in the RPF or RAP. Rehabilitation Rehabilitation assistance is the provision of development assistance in addition to Assistance compensation such as livelihood support, credit facilities, training, or job opportunities, needed to assist PAPs or DPs restore their livelihoods. Replacement Cost Replacement cost refers to the amount sufficient to cover full recovery of lost assets and related transaction costs. The cost should be based on Market rate (commercial rate) according to Tanzanian laws for sale of land or property. It is normally calculated based on a willing buyer-willing seller basis, but also applies in Tanzania to acceptable market valuation or from an assessment from the Land Commission and government valuer. Resettlement Action The RAP is a resettlement instrument (document) to be prepared when sub-project locations Plan (RAP) are identified. In such cases, land acquisition leads to physical displacement of persons, and/or loss of shelter, and /or loss of livelihoods and/or loss, denial or restriction of access to economic resources. RAPs are prepared by the implementing agency and contain specific and legal binding requirements to resettle and compensate the affected people before project implementation. Resettlement Resettlement assistance refers to activities that are usually provided during, and immediately Assistance after, relocation, such as moving allowances, residential housing, or rentals or other assistance to make the transition smoother for affected households. Resettlement Policy The RPF is an instrument to be used throughout the project’s implementation. The RPF sets Framework (RPF) out the objectives and principles, organizational arrangements, and funding mechanisms for any resettlement, that may be necessary during implementation. The RPF guides the preparation of Resettlement Action Plans (RAPs), as needed, for sub-projects. Rights and Rights and entitlements are defined for PAPs and DPs (with the cut-off date) and cover Entitlements those losing businesses, jobs, and income. These include options for land-for-land or cash compensation. Options regarding community and individual resettlement, and provisions and entitlements to be provided for each affected community or household will be determined and explained, usually in an entitlement matrix. Witness NGO or Some RPFs refer to a witness NGO or an independent monitor that can be contracted to Independent Monitor observe the compensation process and provide an independent assessment of the quality of the process. These are usually NGOs or other agencies that are not directly involved in the project and have a reputation for independence and integrity. 68 ANNEX 6: Relevant Laws Property Rights and Land Rights Law / Regulation The Constitution provides for the protection of the rights and interest of citizens in matters Constitution (1977) concerning their property and acquisition. Under article 24 (1), every person is entitled to own property, and has a right to the protection of his property held in accordance with the law. Sub- article (2) prescribes that it is unlawful for any person to be deprived of property for any purposes without the authority of law, which makes provision for fair and adequate compensation. The National Land policy provides guidance and directives on land ownership and tenure rights National Land and taking of land and other land based assets. The policy stipulates organization and procedures Policy (1996) for valuing assets and delivery of compensation. The overall aim is to promote and ensure a secure land tenure system in Tanzania that protects the rights in land for all its citizen. The following are the basic land policy tenets:  All land in Tanzania is public land vested in the President as trustee on behalf of all citizens;  Land has value; The rights and interest of citizens in land shall not be taken without due process of law; and Full, fair and prompt compensation shall be paid when land is acquired. Land tenure and ownership in Tanzania is governed by these statutes as well as the1977 National Land Act Constitution of the United Republic of Tanzania, (as amended) Land in Tanzania is owned by the (No. 4 of 1999), state. Public land in Tanzania is either general land or village land or reserved land. Socio- Village Land Act economic activities are permitted on general/village land and not permitted or restricted in land (No.5 of 1999), reserved for national parks, protected areas and forest reserves. Land Regulations 2001 Subsidiary Tanzania has a dual system of land tenure: customary and statutory rights of occupancy. Tenure Legislation, Land rights to land can be held by individuals and by communities. Holdings of individuals can be (i) Acquisition Act by leasehold right of occupancy for varying periods e.g. 33, 66, or 99 years which must be (1967), Land confirmed by a certificate of occupancy; (ii) by customary rights of occupancy that must be Ordinance (1923 confirmed by a certificate of Customary Right of Occupancy (Hati ya Ardhi ya Mila) and have no Cap. 113) and Town term limit. and Country Communities (Villages) are allowed to hold land and to manage it, although they do not formally Planning Ordinance own the land. (1956 Cap. 378). The Land Acquisition Act further empowers authorized Government officials (which is applicable Land Acquisition to MJCA, PO-PSM and the Judiciary) to investigate the land in any locality for its possible Act (1967) acquisition for any public purpose. The authorized person is allowed to enter upon and survey and take levels of any land in such locality; to do all other acts necessary to ascertain whether the land is adapted for such purpose; and to clear, set out and mark the boundaries of the land proposed to be taken and the intended line of the work (if any) proposed to be made thereon. Tanzania laws indicate that market value should be used as basis for valuation of land and Regulation 3 of the properties. The laws provide for practical guidelines on assessment of compensation. The full and Land (Assessment fair compensation is only assessed by including all components of land quality. Presently in of the Value of Land assessing the value of the un-exhausted improvements for compensation purposes, the law for emphasizes that the value should be the price at which the said improvements can fetch if sold in Compensation) the open market. But this in normal circumstances is lower than the replacement value but higher Regulations, 2001 than the initial construction cost of the said improvements. and Part IlIl of the Village Land Regulations, 2002 The Acts stipulate in detail functions of District/Urban councils. Issues of land are included as Local Government objectives of functions and therefore part of the mandates of local government in their respective (District areas. Authorities) Act No. 7, 1982 and Local Government (Urban Authorities) Act No. 69 Property Rights and Land Rights Law / Regulation 8, 1982 The grievance procedure will be simple, administered as far as possible at the local level to Cited in facilitate access, flexible and open to various proofs taking into cognizance of the fact most people Resettlement Policy are illiterate and poor requiring a speedy, just and fair resolution of their grievances. The Local Framework, Government Authorities not being a party to the contracts would be the best office to receive Tanzania handle and rule on disputes. Failure of the Councils to settle the disputes, the grievances Accountability, concerning non-fulfilment of contracts, levels of compensation, or seizure of assets without Transparency and compensation will be addressed to the existing local courts system of administration of justice in Integrity Project the Districts. Local NGO's will be engaged by the Designated Sector Environmental Coordinators (ATIP), October to mediate disputes. (2005) If the complainant's claim is rejected, then the matter will be brought before the Land Tribunals and/or the local courts for settlement. If the matter cannot be settled by the local courts and/or the District Land Tribunals, the matter will go the High Court for resolution. The High Court of Tanzania will be the highest appellate "judge" in this system. The decision of the High Court would be final and all effort should be made to ensure decisions are reached within a full growing season after the complaint is lodged.