D. PROJECT IMPLEMENTATION 3.16 The size, complexity and degree of innovation involved in the start-up phases of DPEP are recognized by the GOI and states. Implementation would be marked by incremental expansion of national, state and district components on the basis of performance. Development objectives and indicators would provide the overall framework for measuring performance (Annex 5 - Development Objectives, Indicators & Monitoring). Annual national, state and districts work plans would provide the basis for annual resource allocations and monitoring (Annexes 11 and 12, National and State Implementation Plans, District Implementation Plans)
3.17 The central control mechanism would be review of progress reports covering physical targets for civil works, procurement, and training; software and system
- 41 -
development; and expenditures. The review would assess work plans and budgets for the subsequent year against progress and supervision reports prepared by the DPEP Bureau and program donors. The review would be conducted by the DPEP Bureau and Project Board with full donor participation, in January of each year. Progress reports and work plans would follow a common framework (Annex 17 - Monitoring Report Formats). The review would identify state plan allocation requirements for program implementation, which would be monitored in the following March.
3.18 The initial year of the project would be based on work plans and budgets reviewed by IDA at appraisal, and would emphasize project launch and start-up activities. Project launch workshops would be carried out in each state and district. Program management training would be provided for national, state and district management teams (Annex 8 - Management Development Plan). First year work plans would emphasize the initiation of national and state technical assistance programs, first stages of work on school statistics MIS and textbook agency development, the design and development of first phase in-service training systems, and limited civil works.
SUPERVISION 3.19 IDA supervision for DPEP would be integrated with supervision for the UP Basic Education Project (Credit 2509-IN) and managed from the New Delhi Resident Mission. The supervision plan is described in Annex 16 - Supervision Plan.
3.20 The DPEP Bureau would participate in joint supervision missions with program donors, and in addition carry out its own supervision missions to participating states and districts twice a year; reports would be made available to program donors.
3.21 DPEP Guidelines and procedures would be reviewed periodically. Changes in guidelines would require concurrence of the DPEP Council, and would be reviewed by program donors.
E. PROJECT MONITORING AND EVALUATION 3.22 Progress towards the achievement of development objectives would be measured against baselines through follow-up assessments conducted in the third and sixth year of the project. The results of these studies would be discussed at a mid-term review in the fourth year of the project and at project completion. Program evaluation and research studies would provide a second source of monitoring information. A third source would be a computerized project implementation monitoring system, augmented by the annual review exercise. The first module of the project monitoring system, which tracks state and district activity plans and budgets, was developed during project preparation and is in use. Progress reporting formats are included in the program implementation manual (para. 2.23) and refer to project components, budgets, physical progress monitoring, technical assistance and training, procurement monitoring,
- 42 -
expenditure and disbursement, claim progress monitoring, and financial management. Forms to be completed and appended to each report are included in Annex 17 -- Monitoring Report Format.
3.23 A fourth source of information would be the supervision reports of the DPEP Bureau and program donors. IDA supervision would be managed from an expanded staff in the New Delhi resident mission, and would focus on developing the supervision capacity of DPEP and state staff in addition to closely monitoring implementation and disbursements, The EC would also provide supervision support for the program as a whole. Program donors have agreed to joint supervision missions whenever feasible and to full exchange of reports. IDA attention would gradually shift to supervision of the operations of the DPEP Bureau in the middle stages of the project. A mid-term project review involving all program donors would be held in the fourth year of the program (Annex 16 - Supervision Plan). The GOI furnish to IDA quarterly consolidated progress reports in such content and detail as satisfactory to IDA; and prepare a completion report no later than six months from the closing date of the credit. At negotiations, the GOI provided assurances that it would: (a) ensure that assessment studies are carried out in all project districts in the third and sixth year of the project using methods satisfactory to IDA; and (b) conduct a mid-term review of project implementation and impact, including disbursements, improvements in dropout rates, learning achievement scores, and enrollments, with IDA by June 30, 1998.
3.24 Because of the innovative nature of project implementation through societies, and independent management review of the effectiveness of the state implementation societies would be conducted during the third year of the project in order to identify any implementation difficulties and to propose measures to improve performance. This study would be discussed with program donors at project mid-term review. At negotiations, the GOI provided assurances that an independent management review of the functioning of state implementation societies would be conducted under terms of reference satisfactory to IDA by December 1, 1997.
F. STATUS OF PREPARATION 3.25 In preparing the project, the GOI has sought to develop a strong sense of ownership by fully involving national technical experts and by initiating preparation with district proposals developed by district officials, with support from state and national planning teams. State proposals were prepared in a second phase to ensure support for district activities. The preparation of national proposals was completed by appraisal. A parallel program of project preparation studies has been implemented by scholars at NCERT and NIEPA in cooperation with state agencies, with technical and financial support from UNICEF and IDA. The process has been marked by extensive interaction between the GOI and states and districts, including training in educational planning for district and state teams at NIEPA (Annex 3 - Project Preparation Process). Because of DPEP's size, complexity and innovative nature, the DOE would establish an initial start
- 43 -
up year for the project. In this initial year emphasis would be given to the installation of management systems, preparation of training materials and programs, and limited civil works.
INFORMATIONAL ASPECTS: STUDIES PROGRAM 3.26 The project studies program has been substantially completed, and draft reports reviewed by IDA (Annex 4 - Project Preparation Studies). Findings from the studies have been summarized and discussed with state and district planning teams and beneficiaries. The results of the studies would be fully taken into account in developing strategies for implementation from the second year of the project onwards.
MANAGEMENT ASPECTS 3.27 DPEP management structures (program structures and procedures and management capacity) have been established over the 18 month period of project development. Detailed AWPBs for the first year of activities have been completed for each national, state and district sub-project and have been appraised by the DPEP Bureau in the DOE. Implementation societies have been registered in each participating state in DPEP.
EDUCATIONAL ASPECTS 3.28 The preliminary results of the baseline assessment studies fully confirm the DPEP focus on improving learning achievement through increasing non-salary inputs. They also demonstrate the central importance of improving instruction in language and mathematics in the early primary grades. Preliminary results of the teacher study also reinforce the importance of a substantial effort for in-service training. These results provide the justification for national and state technical assistance programs, and for clear focus on key activities in district programs. The textbook study underlies the state- specific quality and efficiency programs that would be supported by DPEP. AWPBs for technical assistance programs for school statistics MIS system development, primary teacher in-service training and program evaluation research and studies have been prepared and appraised.
SOCIAL ASPECTS 3.29 Popular participation is a cornerstone of DPEP. In the first rounds of planning, more than 1000 meetings involving more than 50,000 persons have been held at district, block and community levels for consultations on problems facing primary education and on likely solutions. The reports of these meetings are available (in a variety of languages) in project files. These meetings have included women, SC and ST parents, teachers, NGOs and local officials. Focus group discussions have been completed as part of the gender and tribal studies. The results of the studies would be discussed with officials and beneficiaries (paragraph 3.26). The results would be taken into account through national and state technical assistance programs, in pilot projects,
- 44 -
and in continuing refinement of intervention strategies. Strengthened community/school organizations in all states and districts would provide a mechanism for continuing beneficiary participation in program implementation.
CIVIL WORKS PROGRAM 3.30 Sites. Work plans for first year activities have been clearly laid out and are largely confined to repair of existing schools, expansion of existing schools and construction of classrooms at new school sites where site acquisition is not an issue. Site surveys and site acquisitions for Priority II civil works are in progress for the next wave of construction activity, not scheduled to commence until the second year of the project.
3.31 Designs and Preparation of Drawings. Design work for common construction elements, such as classroom buildings and block resource centers, has been largely completed and is being compiled in each state into a Project Construction Manual, which also includes related technical specifications, structural detailing, survey requirements and similar material. This manual is intended to serve as guidance on the materials and methods of construction for all the majority of the facilities being built throughout the project period. Design work is also advancing in most of the project states for the larger "unique" facilities being programmed at the district and state levels, such as those being built to accommodate training facilities at the SIEMT.
G. DISBURSEMENTS 3.32 Disbursement profile. The proposed IDA credit would be disbursed over seven years, consistent with the standard profile for PHR projects in India. The project is expected to be completed on September 30, 2001 and the credit closed on March 31, 2002. The experience with other PHR projects reinforces the justification for a standard disbursement profile. The table below shows forecasts of expenditures and disbursements.
Estimated Disbursements
IDA FY FY95 FY96 FY97 FY98 FY99 FY2000 FY2001 FY2002
Annual 8.0 32.3 35.7 42.6 45.8 42.3 33.6 20.0
Cumulative 8.0 40.3 76.0 118.6 164.4 206.7 240.3 260.3
3.33 Disbursement Percentages. The IDA credit would be disbursed as follows:
(a) against 90 percent of expenditures on civil works;
(b) 100 percent of CIF and ex-factory costs or 80 percent of other local expenditure on furniture, equipment, books, and vehicles;
- 45 -
(c) 100 percent of consultants, fellowships, study tours, attendance at international conferences, training and workshops;
(d) and 75 percent of incremental staff salaries, honorarium fees, consumables, teaching materials, operation and maintenance expenses on a declining basis, beginning with 90 percent in the first two years, declining to 80 percent for the third, fourth and fifth year, and 60 percent for the remaining years of the project.
3.34 Required Documentation. Disbursements for training and fellowships, incremental salaries and maintenance, and honoraria for volunteers would be made against Statements of Expenditure. Disbursements for school construction, rehabilitation and repair would also be made against Statements of Expenditure based on certification of satisfactory completion of each stage of the work (foundation, walls, and roof). The state government would maintain complete records, by site, of work accomplished and funds disbursed, including certificates of completion signed by the block engineer and countersigned by the District Engineer and District Project Officer. Disbursements for procurement of goods and services under contracts of less than US$300,000 and US$ 100,000 (for firms) and US$50,000 (for individuals) respectively, and for civil works contracts under US$300,000, would also be made against Statements of Expenditure, with supporting documentation retained by the state government for review by IDA during supervision missions. All other disbursements would be made against fully documented withdrawal applications.
3.35 Special Account and Central Government Advance to the Project States. In order to accelerate disbursements in respect of IDA's share of expenditures pre- financed by the GOI and the state government, and to allow for direct payment of other eligible local and foreign expenditures, a Special Account would be opened in the Reserve Bank of India in the amount of US$12 million equivalent to cover four months of expected requirements for IDA financed items. In addition, the GOI DOE would release an advance of an estimated six months of expected project requirements for IDA financed items as grants to the DPEP Implementation Society in each of the project states. The State Governments would also place their own contribution in the accounts of the Societies. GOI would, in turn, release additional grant assistance to the Societies linked to subsequent disbursements by IDA against eligible expenditures.
3.36 Retroactive Financing. Retroactive financing in the amount of SDR 5.54 million (approximately three percent of the proposed credit) is recommended to cover eligible expenditures incurred in implementing appraised project activities after March 1, 1994. Retroactive financing would support inter alia initial staff appointments, development of the project monitoring system, and pilot construction of community schools to test designs and cost parameters. All procurement would be made against eligible categories of expenditures in the project, and would follow IDA procurement guidelines.
- 46 -
H. PROCUREMENT 3.37 The procurement plan reflects the widespread and decentralized nature of the activities that will be conducted by the six states in 23 districts throughout the seven year life of the project. Many of the procurement actions in support of the project work do not lend themselves well to aggregation for bidding as large single contracts. Civil works, for example, is dominated by the small scale construction of single and double classrooms totalling over 10,500 classrooms in all at nearly 5,000 separate sites over the first four years of the project. Likewise, the purchases of consumables and teaching materials amounts to over US$50 million in aggregate, but over 80% of it is comprised of small scale purchases of easily acquired local materials for both new and existing schools in the 23 project Districts, estimated to cost less than US$125 per classroom each year.
3.38 Table 3.3 summarizes the project elements and their estimated costs and proposed methods of procurement, and a time line depiction of the major procurement activities during the life of the project is contained in Annex 1. Project-related procurement for goods and services would follow procedures acceptable to IDA using ICB and LCB documents or prudent shopping procedures acceptable to IDA. Project- financed consultants would be selected according to Guidelines for the Use of Consultants by World Bank Borrowers. Procurement of equipment, vehicles, furniture, books and educational materials would be bulked to the extent possible and procured as follows: