REPORT NO.: RES25584 RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF THE PUBLIC FINANCIAL MANAGEMENT IMPROVEMENT AND CONSOLIDATION PROJECT APPROVED ON NOVEMBER 27, 2013 TO THE REPUBLIC OF SIERRA LEONE GOVERNANCE GLOBAL PRACTICE AFRICA REGION Regional Vice President: Hafez M. H. Ghanem Country Director: Pierre Frank Laporte Regional Director: Asad Alam Practice Manager: Hisham Ahmed Waly Task Team Leaders: Victor Boakye-Bonsu, Donald Herrings Mphande The World Bank Public Financial Management Improvement and Consolidation Project (P133424) ABBREVIATIONS AND ACRONYMS AF Additional Financing AfDB African Development Bank AGD Accountant General’s Department AMIS Audit Management Information System ASSL Audit Services Sierra Leone CIT Corporate Income Tax DfID United Kingdom’s Department for International Development EDMS Electronic Document Management System EPRU Economic Policy and Research Unit ESW Electronic Single Window EU European Union GFS Government Finance Statistics GoSL Government of Sierra Leone GST Goods and Services Tax IAD Internal Audit Directorate IDA International Development Association IFMIS Integrated Financial Management Information System ITAS Integrated Tax Administration System IPAU Integrated Project Administration Unit LGFD Local Government Finance Department MDA Ministry, Department, and Agency MDTF Multi-Donor Trust Fund MIC Ministry of Information and Communication NPPA National Public Procurement Agency NRA National Revenue Authority NSA Non-State Actor PAC Public Accounts Committee PAYE Pay As You Earn (Tax) PDO Project Development Objective PFM Public Financial Management PFMICP Public Financial Management Improvement and Consolidation PIT Personal income Tax PMU Project Management Unit RAIC Right to Access Information Secretariat RPRRS Revenue Payment, Receipting, and Reconciliation System SALPOST Sierra Leone Postal Service UAT User Acceptance Testing 2 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) BASIC DATA Product Information Project ID Financing Instrument P133424 Investment Project Financing Original EA Category Current EA Category Not Required (C) Not Required (C) Approval Date Current Closing Date 27-Nov-2013 31-Mar-2020 Organizations Borrower Responsible Agency GOVERNMENT OF SIERRA LEONE,Government of Sierra Republic of Sierra Leone,MOFED Leone Project Development Objective (PDO) Original PDO The project development objective (PDO) is: “to improve budget planning and credibility, financial control and accountability, and legislative and public oversight in the management and use of government finances in Sierra Leone”. Through strengthened institutional capacity for the delivery of effective PFM and oversight, the project will contribute to enhancing fiscal discipline, strategic allocation of resources, and service delivery efficiency. With this objective, a sound PFM system will be established and nurturedunder the proposed project to contribute to poverty reduction as: (i) it serves as a prerequisite for long-term and sustainable poverty reduction, enabling the country to manage its own development; (ii) it helps ensure that budget planning and discipline are compatible with macroeconomic stability, resource allocation is in line with poverty reduction strategies, activities are implemented efficiently, and results are followed up; (iii) national policies are transformed into actions through the PFM system, and services are delivered; and (iv) democratic governance entails democratic control over resources. In order to achieve the PDO, the Project will support the implementation of priority reform actions identified in the GoSL approved PFM Reform Strategy (2014-2017) which was developed under the following key themes: (i) Budget Planning, Comprehensiveness, and Credibility; (ii) Financial Control and Accountability, Service Delivery and Oversight; (iii) Revenue Mobilization; and (iv) Strengthening Local Governance Financial Management through Local Councils for Effective Decentralization. It will establish tangible improvements in budget credibility, coverage, and realism through improvements in macro-fiscal planning and forecasting, budget compilation and comprehensiveness, it will instill improved internal and external controls and accountability processes in expenditure management for enhanced service delivery, it will strengthen revenue collection, accounting and reporting as a basis for improved fiscal management; it 3 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) will strengthen the capacity of the decentralized service delivery arm of government (the local councils) to plan and account for the resources transferred to them; and it will support the overall governance and management platform for coordinating and monitoring the implementation of not only thePFM reform project but the PFM reform strategy as a whole. The PFM Reform Strategy objectives against each of the themes have beenaccordingly built in the relevant components of the proposed project for efficiency and for the sake of operational implementationof the project. The strategy is anchored on five basic criteria: sequencing of major actions; simplicity and realism; lessons learnedin prior reforms; ownership and sustainability; and partnership and collaboration. Project Beneficiaries: The beneficiaries of theProject will include: the Ministry of Finance and economic Planning (Comptroller and Accountant General’s Department, Budget Bureau, PFM Reforms Unit, Aid and Debt Management Unit, and Macro-Fiscal Analysis Unit), National Revenue Authority, Audit Service of Serra Leone, the Finance and Appropriations Committee and the Public Accounts Committee of Parliament, National Public Procurement Authority, Local Councils. MDAs will also be key stakeholders and beneficiaries of the reforms supported under the project. In addition, the Project will benefit the non-state actors in executing their demand-side oversight responsibilities in the area of PFM. Current PDO The modified project development objective reads as follows: to improve the public financial management system and accountability in the use of government finances. OPS_TABLE_PDO_CURRENTPDO Summary Status of Financing Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IDA-60780 07-Jun-2017 27-Jul-2017 27-Oct-2017 31-Mar-2020 10.00 3.93 6.19 IDA-53500 27-Nov-2013 17-Jan-2014 19-Sep-2014 31-Mar-2020 12.00 10.64 .55 TF-17201 25-Jul-2014 25-Jul-2014 19-Sep-2014 31-Mar-2018 4.60 4.60 0 Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No I. PROJECT STATUS AND RATIONALE FOR RESTRUCTURING 1. The Public Financial Management Improvement and Consolidation Project (PFMICP) was approved by the World Bank’s Board on November 27, 2013 and became effective on September 19, 2014. This involved a US$12 million International Development Association (IDA) credit, parallel financing from the African Development Bank (AfDB) of US$3.5 million, and two contributors to the Multi-Donor Trust Fund (MDTF): the European Union (EU) with US$1.81 million 4 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) and United Kingdom’s Department for International Development (DfID) with US$11.19 million. The original project development objective (PDO) was to improve budget planning and credibility, financial control and accountability, and legislative and public oversight in the management and use of government finances in Sierra Leone. 2. On June 7, 2017, the World Bank approved a level one restructuring and Additional Financing (AF) in the amount of US$10 million equivalent (IDA credit, IDA-60780), which became effective on October 27, 2017. This restructuring and AF significantly altered the scope of the project, as it included: (i) addition of AF to support new subcomponents and activities requested by the Government; (ii) restructuring of existing components and subcomponents following the withdrawal by EU and DfID of all non-disbursed MDTF resources, leaving the MDTF at US$4.6 million, down from US$13 million; (iii) changes to the PDO formulation and the Results Framework, so as to better align project indicators and expected outcomes with the revised activities and overall financing envelope; and (iv) extension of the closing date by 24 months, from March 31, 2018 to March 31, 2020. With this restructuring, the PDO was modified to read: to improve the public financial management system and accountability in the use of government finances. The project currently has an overall allocation of US$26.6 million, comprised of US$22 million IDA credit and US$4.6 million in MDTF, and is now composed of the following three components:  Component 1: Strengthening Budget, Financial, Procurement, and Taxation Systems  Component 2: Improving Public Financial Management (PFM) Oversight and Accountability Systems  Component 3: PFM Reform Coordination and Project Management 3. The overall progress towards achievement of the PDO and Implementation Progress (IP) are rated Satisfactory1. The latest disbursement rate (as at December 16, 2019) is 73.97 percent (US$19.17 million disbursed of US$26.60 million). Project implementation has sped up significantly in the past few months, following implementation delays suffered around the run-up to the 2018 general elections, the abrupt departure of the former Project Director and, in particular, cancellation of the initial Integrated Tax Administration System (ITAS) procurement, its relaunch, and then delayed approval of the ITAS Project Plan. The Government of Sierra Leone (GoSL) overcame these hurdles by reconstituting the Project Management Unit (PMU), doubling down on government support (particularly from the Ministry of Finance), and the active engagement on the part of implementing partners. 4. Despite the current positive performance of the project, delays in implementation of activities2 —particularly those added to the project under the AF in 2017—make it impossible for the Government to fully achieve its project development objective unless the project is extended for one year, from March 31, 2020 to March 31, 2021. 5. To allow for successful implementation of the remaining project activities across all project components, achievement of expected outcomes and the overall PDO, the Government has submitted an official no-cost extension request, dated November 26, 2019. No changes to the existing project components, activities or implementation arrangements are envisaged at this stage. 6. The latest progress against the three project components—as well as an explanation of what ongoing activities could be successfully delivered were this no-cost extension of 12 months to be granted—is as follows: 1 Per the latest Implementation Status and Results Report (ISR), approved by World Bank management on December 12, 2019. 2 Some of the key factors that contributed to the delay in implementation of project activities included: (i) the Ebola outbreak, which took place immediately after project effectiveness and caused about nine months implementation delay; (ii) procurement delays, including cancellation of the initial ITAS procurement, its relaunch, and delayed approval of the ITAS Project Plan; and (iii) change of Government in May 2018 and new administration, which caused delays in accepting some of the project activities (i.e. the e- procurement implementation). 5 The World Bank Public Financial Management Improvement and Consolidation Project (P133424)  Component 1: Strengthening Budget, Financial, Procurement, and Taxation Systems. The latest rating of this component is Satisfactory. o Subcomponent 1.1: Budget Planning, Credibility, and Framework Foundation. Activities under this subcomponent have been successfully completed. The Economic Policy and Research Unit (EPRU) has strengthened its macro-fiscal forecasting and public investment functions through technical assistance activities, including advanced training, support to undertake the annual Economic Prospects Survey, macro-fiscal forecasting working sessions, and support for preparation of the Fiscal Strategy Statement. The Budget Bureau has successfully undertaken activities to strengthen the budget framework and formulation through the transition to medium-term budgeting and the migration of the budget formulation classification from Government Finance Statistics (GFS) 1986 to GFS 2001 Standard. The Local Government Finance Department (LGFD) has undertaken activities to strengthen the budget credibility, comprehensiveness, and transparency of council budgets. o Subcomponent 1.2: Integrated Financial Management Information System (IFMIS) and Accounting and Reporting Systems. The Accountant General’s Department (AGD) and IFMIS team are holding negotiations with the vendor on the IFMIS reimplementation/upgrade (which will be procured using counterpart funds); GoSL has already requested from the vendor a counterproposal with clearly costed deliverables and a resource plan. Development of a Call Center/Help Desk is in the late stages of procurement; critical for ensuring the consolidation of IFMIS roll-out achievements as well as the regular use of the solution, such a Help Desk will guarantee the sustainability of project and GoSL investments in the solution to date. The IFMIS change management team is implementing activities from the IFMIS Change Management Strategy, including site visits to the 57 ministries, departments and agencies (MDAs) which are connected to IFMIS to diagnose issues limiting greater usage of the system ex ante.  The no cost extension of the project implementation period will allow the AGD team to: (i) sign a contract with the IFMIS vendor favorable to the GoSL; (ii) launch and institutionalize the IFMIS Help Desk; and (iii) ensure that its IFMIS Change Management Team can guarantee that conditions in MDAs are robust to allow for systematic, ex ante use of IFMIS. o Subcomponent 1.3: Public and Electronic Procurement Systems. The National Public Procurement Agency (NPPA) is in its final stages of developing an electronic Government Procurement Directorate; a director has been in place since December 2019. First quarter 2020 price norms were finalized and launched in December 2019. The public procurement capacity building strategy and curriculum for public procurement have been completed and a final report of the curriculum will be completed and submitted shortly. All activities under this subcomponent, except for training of the public procurement professionals, will be delivered by March 2020. Training of professionals in e-Procurement cannot occur, even with the proposed one-year extension, given the delays in first establishing the new system. o Subcomponent 1.4: Revenue Management Systems and Legal Framework. As mentioned above, the National Revenue Authority’s (NRA) delivery of ITAS—an activity added to the project during the 2017 AF—is behind schedule due to the earlier need to restart the procurement process. An accelerated plan is being implemented to ensure that User Acceptance Testing (UAT) is carried out for select modules— registration, returns processing, payment and accounting—for Corporate Income Tax (CIT), Pay as Your Earn (PAYE) Tax, Goods and Services Tax (GST) and Personal Income Tax (PIT) by close of project. However, UAT for the three remaining modules will not be possible by March 2020. Migration to ASYCUDA World has been proceeding apace. Kissy Terminal, Sierra Leone Postal Service (SALPOST), the airport, and the 6 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) Gbalamuya Customs Unit have recently come online; roll-out to Jendema Customs Unit is expected by March 2020. Activities around implementation of the Electronic Single Window (ESW) are ongoing. Pilot implementation to five MDAs— Ministry of Finance, Ministry of Trade and Industry, Ministry of Health and Sanitation, Africa Link Inspection Company, and Sierra Leones Road Safety Authority—will not be completed by March 2020 because not all of these MDAs have automated systems, complicating the reengineering of their processes to be able to receive a terminal connecting ASYCYDA World and input their inspections/actions into the system. Finally, relaunch of the procurement process for a redesigned Revenue Payment, Receipting, and Reconciliation System (RPRRS) has been delayed due to the need to receive inputs from the AGD to ensure the appropriate functional and technical system requirements and specifications.  The no cost extension of the project implementation period will allow NRA to: (i) ensure full ITAS system operational acceptance (which would be critical to helping GoSL improve its domestic resource mobilization); (ii) completion of the ESW pilot to five critical MDAs; and (iii) procurement of the RPRRS.  Component 2: Improving PFM Oversight and Accountability Systems. The latest rating of this component is Satisfactory. o Subcomponent 2.1: Strengthening Audit and Oversight. Through the project support, the performance audit capacity of the Audit Services Sierra Leone’s (ASSL) has been developed to such an extent that ASSL no longer needs to rely upon external consultants to be able to continue this critical work. Still pending is implementation of an Audit Management Information System (AMIS), due to dissatisfaction with the current state of the pilot. The Internal Audit Directorate (IAD) has concluded its activities within the scope of the project. The Public Accounts Committee (PAC) has concluded its activities within the scope of the project.  The no cost extension of the project implementation period will allow ASSL to implement the AMIS. o Subcomponent 2.2: Open/Big Data and NSA Oversight. The NSA Secretariat has successfully completed the Second Wave Grant to NSAs; the Third Wave is on track to be completed by March 31, 2020. Ongoing is collaboration with the PAC and GoSL integrity institutions on the pilot of a system to follow up on audit recommendations in ten MDAs. The pilot can be concluded by March 31, 2020; however, to further scale up this critical activity and ensure sustainability, more time is needed. The Right to Access Information Secretariat (RAIC) has a number of activities on schedule to be completed by March 31, 2020, including: conclusion of the physical records management pilot in five MDAs; development of an open data policy; and completion of proactive disclosure scheme interventions. Pending from the Ministry of Information and Communication (MIC) is completion of the procurement processes for the pilots of a Government Electronic Time and Attendance Management System and a Government Integrated Messaging and Collaboration System; both on target to be completed by March 31, 2020. The piloting of an electronic document management system (EDMS) within the Cabinet Secretariat, a request from the Office of the Presidency, cannot be completed by March 31, 2020 due to the late nature of the request and the need to engage in consultations with the Secretariat first.  The no cost extension of the project implementation period will allow the: (i) NSA Secretariat, with PAC and GoSL integrity institutions, to scale up the score card of implementation of MDAs’ audit report recommendations; and (ii) MIC to deliver upon its EDMS pilot in the Cabinet Secretary. 7 The World Bank Public Financial Management Improvement and Consolidation Project (P133424)  Component 3: PFM Reform Coordination and Project Management. The latest rating of this component is Satisfactory. o Subcomponent 3.1: Project Management and Coordination. Activities under this subcomponent are ongoing. o Subcomponent 3.2: PFM Reforms Directorate. Activities under this subcomponent have been successfully completed. Activities included revision of the Government Budgeting and Accounting Act of 2005 through the PFM Act of 2016; development of a PFM Reform Strategy (2018-2021), and implementation of Petra financial information system at the local councils. II. DESCRIPTION OF PROPOSED CHANGES 7. The proposed project restructuring:  Provides a no cost extension of the project closing date from March 31, 2020 to March 31, 2021, to ensure that all critical activities and procurement packages across project components are finalized and implemented in a manner that positively impacts the achievement of the PDO;  Proposes the modification of the Legal Covenant on the appointment of an international procurement specialist, two local procurement specialists, and a Project Manager through the elimination of the first requirement (appointment of an international procurement specialist). Between November 2013 and January 2018, the project relied on international procurement specialists, local procurement specialists, and procurement staff to support the procurement function. The first International Procurement Specialist was appointed before project effectiveness, meaning that this legal requirement was initially met. After his resignation, local procurement specialists employed by the Government carried on the function until January 2017, when two other international procurement specialists were engaged. In October 2017, the procurement responsibility was transferred to the Integrated Project Administration Unit (IPAU), which became the Project Fiduciary Management Unit. The IPAU now handles all procurement activities of World Bank funded projects in Sierra Leone, including the PFMICP. The establishment of this Unit has, therefore, made the hiring of an International Procurement Specialist redundant.  Proposes minor adjustments to the Results Framework, including (i) changing the end target dates of all indicators to reflect the proposed new project end date; (ii) revising downward the end target of the PDO indicator on submission of audited reports to Parliament to reflect GoSl’s statutory requirement; (iii) revising the intermediate indicator on revenue management to ensure that it measures only what is being supported by the project; and (iv) replacing the intermediate indicator on e-Procurement training with one on socialization of e-Procurement, as the e-Procurement system needs to be developed prior to the training of public servants.  Changes being proposed apply to both existing Financing Agreements of the project.  The proposed closing date extension meets the requirements of the World Bank Investment Project Financing (IPF) Directive regarding extension of closing dates, specifically: (i) the project objectives remains achievable; (ii) the performance of the Borrower remains satisfactory; (iii) the World Bank and the Borrower agree on actions 8 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) that will be undertaken by the Borrower to complete project critical activities; and (iv) there are no outstanding audits and/or interim financial reports.  The following Action Plan has been agreed with the Government in order to complete critical project activities within the extended implementation period: Activity Due Date Responsible Agency  Non-State Actors’ Secretariat scale up its pilot of February 28, 2020 Non-State Actors Secretariat following up on recommendations from audit reports  Recruitment of Technical director for the February 28, 2020 National Public Procurement Eprocurement Directorate Authority  Eprocurement Directorate work with the Bank’s February 02- June 30, 2020 National Public Procurement Eprocurement team and Consultants to Authority implement various recommendations in submitted reports including setting up appropriate governance structure (committees), training, socialized programs, and other solid preparatory activities for a strong e-procurement implementation in the programme  AGD signs a contract with the IFMIS vendor February 28, 2020 Accountant General’s favorable to the GoSL Department  User Acceptance Testing (UAT) is carried out for March 31, 2020 National Revenue Authority registration, returns processing, payment and accounting modules, for GST, CIT, PIT and PAYE.  Amended Public Procurement Regulations to March/April 2020 National Public procurement ensure legal coverage of electronic procurement Authority in GOSL’s legal framework submitted to Parliament and enacted  AGD ensure that the IFMIS Help Desk be up and Apri 30, 2020 Accountant General’s operable, and a circular stating that any Department transaction taking place outside of the system (including transactions posted ex post) be deemed ineligible for payment  NSA Secretariat and Ministry of Finance complete May 31, 2020 NSA Secretariat the Third Wave Grant process and award to selected beneficiaries.  The Government Electronic Time and May 31, 2020 Ministry of Information and Attendance Management System (GETAMS) Communication activity concluded.  The Government Integrated Messaging and April 30, 2020 Ministry of Information Collaboration System (GIMS) has its advert out; the tender period will close on 3 December. 9 The World Bank Public Financial Management Improvement and Consolidation Project (P133424)  IFMIS Change Management Team can June 30, 2020 Accountant General’s guarantee that conditions in MDAs are department robust to allow for systematic, ex ante use of IFMIS  NRA procurement of the RPRRS June 30, 2020 National Revenue Authority  NRA's completion of the Electronic Single September 30, 2020 National Revenue Authority Window pilot to five critical MDAs  ASSL implement the Audit Management September 30, 2020 Audit Service Sierra Leone Information System  MIC to deliver upon its EDMS pilot in the September 30, 2020 Ministry of Information and Cabinet Secretary Communication  Full ITAS system operational acceptance February 28, 2021 National Revenue Authority (which would be critical to helping GoSL improve its domestic resource mobilization III. SUMMARY OF CHANGES Changed Not Changed Results Framework ✔ Loan Closing Date(s) ✔ Disbursement Estimates ✔ Legal Covenants ✔ Implementation Schedule ✔ Implementing Agency ✔ DDO Status ✔ Project's Development Objectives ✔ Components and Cost ✔ Cancellations Proposed ✔ Reallocation between Disbursement Categories ✔ 10 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) Disbursements Arrangements ✔ Overall Risk Rating ✔ Safeguard Policies Triggered ✔ EA category ✔ Institutional Arrangements ✔ Financial Management ✔ Procurement ✔ Other Change(s) ✔ Economic and Financial Analysis ✔ Technical Analysis ✔ Social Analysis ✔ Environmental Analysis ✔ IV. DETAILED CHANGE(S) OPS_DETAILEDCHANGES_LOANCLOSING_TABLE LOAN CLOSING DATE(S) Original Revised Proposed Proposed Deadline Ln/Cr/Tf Status Closing Closing(s) Closing for Withdrawal Applications IDA-53500 Effective 31-Mar-2018 31-Mar-2020 31-Mar-2021 31-Jul-2021 IDA-60780 Effective 31-Mar-2020 31-Mar-2021 31-Jul-2021 TF-17201 Closed 31-Mar-2018 13-Sep-2018 31-Mar-2020 31-Jul-2020 OPS_DETAILEDCHANGES_DISBURSEMENT_TABLE DISBURSEMENT ESTIMATES Change in Disbursement Estimates Yes Year Current Proposed 2014 3,060,000.00 0.00 2015 10,230,000.00 4,535,700.00 2016 9,820,000.00 6,947,890.00 11 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) 2017 3,500,000.00 534,415.00 2018 1,890,000.00 1,981,995.00 2019 0.00 4,529,150.00 2020 0.00 5,600,000.00 OPS_DETAILEDCHANGES_LEGCOV_TABLE LEGAL COVENANTS Loan/Credit/TF Description Status Action Finance Agreement :5.01 | Description :The Trust Fund Grant Agreement has been executed and delivered and all conditions precedent to its effectiveness or to the IDA-53500 right ofthe Recipient to make withdrawals under said Complied with No Change Agreement (other than the effectiveness of the Financing Agreement) has been fulfilled. | Due Date :30-Sep-2014 Finance Agreement :5.01 | Description :The Recipient has adopted the Second Annual Work Plan and Budget IDA-53500 in accordance with the provisions of Section I.B.2 of Complied with No Change Schedule 2 to the Financing Agreement. | Due Date :30- Sep-2014 Finance Agreement :5.01 | Description :The Recipient has appointed an international procurement specialist, two local procurement specialists and a Project Partially complied IDA-53500 Revised manager in accordance with the provisions of Section with III.C of Schedule 2 to the Financing Agreement. | Due Date :30-Sep-2014 The Recipient has appointed two local procurement specialists and a Project manager in accordance with Proposed Complied with the provisions of Section III.C of Schedule 2 to the Financing Agreement. | Due Date :30-Sep-2014 Finance Agreement :5.01 | Description :The Recipient IDA-53500 has adopted the Project Implementation Manual in Complied with No Change accordance with the provisions of Section I.B.1 of 12 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) Schedule 2 to theFinancing Agreement. | Due Date :30- Sep-2014 Finance Agreement :5.01 | Description :The Recipient has established a procurement directorate within IDA-53500 MoFED with a composition, mandate, terms of Complied with No Change reference and resources satisfactory to the Association. . | Due Date :30-Sep-2014 13 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) . Results framework COUNTRY: Sierra Leone Public Financial Management Improvement and Consolidation Project Project Development Objectives(s) The modified project development objective reads as follows: to improve the public financial management system and accountability in the use of government finances. Project Development Objective Indicators by Objectives/ Outcomes RESULT_FRAME_TBL_PDO Indicator Name DLI Baseline Intermediate Targets End Target 1 To improve the public financial management system Average time of quarterly budget release to MDAs 5.00 3.00 2.00 within start of quarter (Weeks) Rationale: Action: This indicator has been Revised End target date revised from 31-Mar-2020 to 31-Mar-2021. Increase in customs revenues paid into the Consolidated Revenue Fund, adjusted for inflation 20.00 50.00 (Percentage) Rationale: Action: This indicator has been Revised End target date revised from 31-Mar-2020 to 31-Mar-2021. Percentage of contracts (by value) awarded in the fiscal year through open competitive procurement 0.00 95.00 (Percentage) Action: This indicator has been Revised Rationale: 14 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) RESULT_FRAME_TBL_PDO Indicator Name DLI Baseline Intermediate Targets End Target 1 End target date revised from 31-Mar-2020 to 31-Mar-2021. To improve accountability in the use of government finances Timely submission of the audited report of the public accounts to the legislature (in months from 12.00 8.00 submission of the audit report by the Auditor General) (Months) Rationale: End target date revised from 31-Mar-2020 to 31-Mar-2021 and modified to better reflect GoSL's statutory requirement. In addition, the Action: This indicator has been Revised baseline was corrected to 12 months, as applicable at the time of the project's preparation. Non-state actors and citizens participating in 0.00 250.00 annual budget discussions (Number) Rationale: Action: This indicator has been Revised End target date revised from 31-Mar-2020 to 31-Mar-2021. PDO Table SPACE Intermediate Results Indicators by Components RESULT_FRAME_TBL_IO Indicator Name DLI Baseline End Target Component 1: Strengthening Budget, Financial, Procurement, and Taxation Systems 30 largest MDA budget heads with annual procurement plans 4.00 30.00 within annual budget ceiling (Number) 15 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) RESULT_FRAME_TBL_IO Indicator Name DLI Baseline End Target Rationale: Action: This indicator has been Revised End target date revised from 31-Mar-2020 to 31-Mar-2021. MDAs processing transactions real-time from IFMIS at respective 7.00 54.00 rolled-out site (Number) Rationale: Action: This indicator has been Revised End target date revised from 31-Mar-2020 to 31-Mar-2021. Ratio between actual primary expenditure and original budgeted 121.00 107.00 primary expenditure (Percentage) Rationale: Action: This indicator has been Revised End target date revised from 31-Mar-2020 to 31-Mar-2021. Daily report of revenues based on ASYCUDA++, DTIS (or No Yes substitute), and CS DRMS (Yes/No) Rationale: End target date revised from 31-Mar-2020 to 31-Mar-2021. Reference to BoSL interface with IFMIS was eliminated, as this falls outside of the scope of the project. The National Revenue Authority, through its modernization efforts, has chosen two systems i.e. ASYCUDA & ITAS which are fully Action: This indicator has been Revised interfaced with commercial banks and IFMIS to record, account, and report revenues. Old systems, such as the DTIS and CS DRMS, will be decommissioned while interface with commercial banks replaces a need to interface with BoSL. Further, the project is not supporting any activity with the Central Bank to ensure such an interface materializes. Public procurement professionals socialized to e-Procurement 0.00 250.00 (Number) 16 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) RESULT_FRAME_TBL_IO Indicator Name DLI Baseline End Target Rationale: As the e-procurement activity was delayed and resources are not sufficient to achieve a fully operational e-procurement for training to be based on, the project’s target has been revised to focus on the creation of awareness through Action: This indicator has been Revised socialization/sensitization of a large number of the public procurement professionals on the e-procurement initiative. Percentage of professionals socialized who are female 0.00 50.00 (Percentage) Rationale: Action: This indicator has been Revised This indicator is revised to reflect the project's revised e-Procurement activities Component 2: Improving PFM Oversight and Accountability Systems Percent of Audit Committee recommendations on quarterly internal audit reports of MDAs that are implemented 0.00 50.00 (Percentage) Rationale: End target date revised from 31-Mar-2020 to 31-Mar-2021. Action: This indicator has been Revised Coverage of internal audit (as % of total expenditures) 10.00 65.00 (Percentage) Rationale: End target date revised from 31-Mar-2020 to 31-Mar-2021. Action: This indicator has been Revised 17 The World Bank Public Financial Management Improvement and Consolidation Project (P133424) IO Table SPACE 18 The World Bank Public Financial Management Improvement and Consolidation Project (P133424)