The World Bank Report No: ISR9928 Implementation Status & Results Brazil Recife Urban Development and Social Inclusion (CAPIBARIBE MELHOR) (P089013) Public Disclosure Copy Operation Name: Recife Urban Development and Social Inclusion Project Stage: Implementation Seq.No: 10 Status: ARCHIVED Archive Date: 10-Apr-2013 (CAPIBARIBE MELHOR) (P089013) Country: Brazil Approval FY: 2008 Product Line: IBRD/IDA Region: LATIN AMERICA AND CARIBBEAN Lending Instrument: Adaptable Program Loan Implementing Agency(ies): Key Dates Board Approval Date 20-Dec-2007 Original Closing Date 30-Jun-2013 Planned Mid Term Review Date 03-Oct-2011 Last Archived ISR Date 31-Oct-2012 Effectiveness Date 14-Oct-2009 Revised Closing Date 30-Jun-2013 Actual Mid Term Review Date 16-Nov-2011 Project Development Objectives Project Development Objective (from Project Appraisal Document) Improve the well-being of the low-income population living in the Capibaribe River Basin area of the city and the fiscal, urban and environmental management capacity of the Recife Municipal Government. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Institutional Development 4.70 Integrated Urban Territorial Development 40.25 Environmental, Social and Economic Development of the Territory 1.70 Overall Ratings Public Disclosure Copy Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Unsatisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Unsatisfactory Overall Risk Rating Substantial Implementation Status Overview Project implementation is proceeding Moderately Unsatisfactorily. The loan is currently scheduled to close on June 30, 2013, but project disbursements have only reached 51% of the total loan amount and key works contracts will not be completed by then. The main works being carried out include: development of three parks along the riverbank, rehabilitation of urban roads, construction of a bridge over the Capibaribe river, houses to accommodate populations living in vulnerable areas around the bridge, rehabilitation of macro drainage canals, renovation of an income and jobs generation center. Although these works represent significant gains, costs escalations and overall implementation delays have deterred Page 1 of 7 The World Bank Report No: ISR9928 project progress. Other important works that are to be fully financed by counterpart funds and with secured financing, particularly integrated sanitation in critical areas and related housing units for families to be resettled under these works, have not yet been procured. These works have an estimated duration of 40 months in order to be completed, estimated to last much Public Disclosure Copy beyond the current closing date. There are works that have not yet secured a source of financing, neither from the Loan Agreement nor through counterpart financing (such as urban roads subsystems and integrated sanitation in non-vulnerable areas). As a result the Project is currently not on track to reach its Project Development Objectives and the Implementation Progress is below expectations. Locations Country First Administrative Division Location Planned Actual Brazil Not Entered Sítio Tôrre Brazil Not Entered Morro de São Mateus Brazil Not Entered Santa Rosa Brazil Not Entered Santana Brazil Not Entered Parnamirim Brazil Not Entered Jenipapo Brazil Not Entered Apipucos Brazil Not Entered Recife Brazil Not Entered Casa Forte Brazil Not Entered Rua Arlindo Gouveia Brazil Not Entered Macaxeira Results Public Disclosure Copy Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Net consolidated debt to net current revenue Text Value 28% 18.6 <40% (NCD/NCR) is maintained at less than 40% Date 10-Oct-2007 31-Dec-2012 01-Jun-2013 Comments Data provided by a Bank mission led by PREM to assess the municipality’s fiscal and debt situation Page 2 of 7 The World Bank Report No: ISR9928 Property values of poorest housing increases Text Value R$12,000 R$14,400 by 20% due to project investments Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 Comments ON TRACK Public Disclosure Copy There are no targets associated with the period (years 2-4). So far, no results can be reported, since the housing and infrastructure investments are not completed. Percentage of population reporting satisfaction/ Text Value No baseline available at this Water supply:+10% improvements in: point. Sanitation:+15% Access/ Water supply Mobility:+8% Drainage:+10% Sanitation Parks:+25% Environment: Access/Mobility +15% Drainage Date 31-Dec-2011 01-Jun-2013 Parks Comments Pre investment household ON TRACK Environment survey to be carried out, as There are no targets part of the social work associated with the period consultancy (on preparation (years 1-4). So far, no results and to be nearly procured). can be reported, since the housing and infrastructure investments are not completed. Municipality's urban management capacity is Text Value 5 ZEIS 66 40% enhanced, as evidenced by 40% rise in Date 31-Dec-2012 01-Jun-2013 number of ZEIS and in the municipality's Comments Data made available through No new ZEIS created. Recife overall expenditures in urban upgrading over the life of the project the Project’s Progress Report has actually 66 ZEIS (amendment / Dec, 2011). Municipality's environmental management Text Value 0 4 capacity is enhanced, as evidenced by the Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 establishment of 4 ZEPAs with managment Public Disclosure Copy Comments END TARGET ACHIEVED frameworks in place There are 4 regulated ZEPAs in Recife: Parque das Capivaras, Açude Apipucos, Iputinga/Apipucos, and Ilha do Zeca. During restructuring, this indicator is likely to be dropped, since it is not representative of the results linked to the PDO. Page 3 of 7 The World Bank Report No: ISR9928 Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Improved fiscal performance of the Text Value 100 268 128 Public Disclosure Copy municipality: Current account savings (R$ Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 millions) Comments There is no data available at this point. PIU is working on this and results might be reported by the next ISR. Upon restructuring,this indicator may also be revised Target Improved fiscal performance of the Text Value 50 160 >0 municipality: Primary Balance Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 Comments On track. Personnel expenditures to net current revenue Text Value 46% 45.5 <45% (PE/NCR) Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 Comments Target is likely to be reached, the municipality is receiving Bank support to improve personnel management Population living in areas of flood risk Text Value 30% 20% Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 Comments DELAYED, BUT END TARGET UNLIKELY TO BE ACHIEVED. Upon restructuring, this indicator may be slightly revised to reflect only the actual investments made by the Project. So far there is no specific and disaggregated Public Disclosure Copy data for the Project area only. Pre investment household survey to be carried out, as part of the social work consultancy (on preparation and to be nearly procured). Results to be reported upon the implementation of the Project’s investments. Page 4 of 7 The World Bank Report No: ISR9928 Resettled ZEIS households with legal land Text Value 0 100% tenure Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 Comments DELAYED, BUT END Public Disclosure Copy TARGET LIKELY TO BE ACHIEVED. Upon restructuring, this indicator may be slightly revised to reflect only the actual investments made by the Project. So far there is no specific and disaggregated data for the Project area only. Results to be reported upon the implementation of the Project’s investments. Number of residents receiving vocational Text Value 0 20% annual increase training Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 Comments Upon restructuring, this indicator may be revised to reflect only the actual investments made by the Project. Intermediate and equivalent results might be reported upon the implementation of the Project’s investments under the social consultancy to be hired for the resettlement activities (post occupation income generation and job opportunities activities). Percentage of clients of the job center reporting Text Value 0 20% of year's clients concrete benefits from it Public Disclosure Copy Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 Comments Upon restructuring, this indicator may be slightly revised to reflect only the actual investments made by the Project. Results to be reported upon the implementation of the Project’s investments. Page 5 of 7 The World Bank Report No: ISR9928 Percentage of target population (2,000 Text Value 0 80% catadores) reporting benefits of recycling triage Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 centers Comments Upon restructuring, this Public Disclosure Copy indicator may be revised to reflect only the actual investments made by the Project. Results to be reported upon the implementation of the Project’s investments. Number of people benefiting from Text Value 0 20% annual increase environmental education Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 Comments Results to be reported upon the implementation of the Project’s investments under the social consultancy to be hired for the resettlement activities (post occupation environmental education activities). Percentage of environmental education Text Value 0 +50% program participants who recall at least three Date 10-Oct-2007 31-Dec-2011 01-Jun-2013 key messages conveyed by the program Comments Target met. Number of people in urban areas provided with Number Value 0.00 access to Improved Water Sources under the Date 31-Dec-2011 01-Jun-2013 project Comments DELAYED, BUT END End target to be defined. TARGET UNLIKELY TO BE ACHIEVED. The project reduced scope will affect the proposed target. The indicator will be revised Public Disclosure Copy upon project restructuring. Number of people in urban areas provided with Number Value 0.00 access to Improved Sanitation under the Date 31-Dec-2011 01-Jun-2013 project Comments DELAYED, BUT END End target to be defined. TARGET UNLIKELY TO BE ACHIEVED. The project reduced scope will affect the proposed target. The indicator will be revised upon project restructuring. Page 6 of 7 The World Bank Report No: ISR9928 Data on Financial Performance (as of 21-Dec-2012) Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date Public Disclosure Copy P089013 IBRD-74970 Effective 20-Dec-2007 03-Sep-2009 14-Oct-2009 30-Jun-2013 30-Jun-2013 Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P089013 IBRD-74970 Effective USD 32.76 32.76 0.00 16.83 15.93 51.00 Disbursement Graph Key Decisions Regarding Implementation Public Disclosure Copy The Borrower and the Bank are currently discussing how to restructure the project most effectively, maximizing its impact and to ensuring that project development objective is met Restructuring History There has been no restructuring to date. Related Projects There are no related projects. Page 7 of 7