Bosnia and Herzegovina Community Development Project SCALING UP

Bosnia and Herzegovina Community Development Project SCALING UP POVERTY REDUCTION Community Driven Development Thursday, March 11, 2004

Community Development Project Total financing US$ 17. 63 million n n IDA Credit US$ 15 million Counterpart funding US$ 2. 63 million Implementation agencies: Federation Foundation for Sustainable Development and n Republika Srpska Development and Employment Fund n

CDP Primary objectives: n n Improvement of basic services and facilities in low income and poor communities Improvement of governance and capacity of local governments to deliver better services to communities.

Eligible Municipalities In RS, 39 municipalities legally classified as: n Undeveloped n Extremely undeveloped In FBi. H, 37 municipalities identified as most economically disadvantaged based on the set of socioeconomic criteria.

What can be financed? n n Project components were designed to ensure achievement of the stated project objective and in accordance with objectives outlined in the Interim Poverty Reduction Strategy for BH. Component A: investments in non-revenue generating socially oriented projects in low income and poor communities (up to 50. 000, 00 USD per sub-project); Component B: improvement of governance and capacity of local governments through developing better partnership between communities and local governments.

Implementation procedure n n n n Letter of understanding by eligible municipality Selection and training of local consultants for Participatory Community Assessment PCA Report General Community Meeting Community Action Group Application for first priority sub-project Implementation Evaluation

Implementation procedure Citizens Driven Decision Making Cycle Needs Assessment Project Identification Project Development. Proposal Preparation Follow-up activities. Evaluation of Project Impacts Project Completion and Evaluation of Results. Proposal Review and Approval Project Implementation. Contract. Procurement. Financing. Monitoring

Implementation procedure GENERAL COMMUNITY MEETING (GCM) n n n Attended by representatives of all relevant citizens groups; Presentation of PCA report and general discussion on findings and recommendations Election of Community Action Group (CAG)

Implementation procedure Community Action Group (CAG) n n n Composed by 5 -15 members Summarize PCA report and GCM discussions and lead the process of developing a Community Action Plan (CAP) Final CAP includes: n n n Priority project identification; Possible solutions and activities; Possible financers; Number of beneficiaries; Maintenance, e. t. c.

Implementation procedure continued After project appraisal and approval: n n n Public tendering and selection of contractor/service provier (municipality); Tripartite contract: CDP, Municipality and Contractor; Works/services; Supervision by municipality and CDP Evaluation

Evaluation First Evaluation – after project completion and after guarantee period; n Impact evaluation should answer the following: - were expected results achieved - could such results been achieved without respective investment? - do beneficiaries pay user fees? - maintenance? - accordingly – are further investments in respective municipality justifiable? n

Performance based grants n n Achievement of expected results is an ultimate pre-condition for further investments; Joint proposals, submitted by RS and FBi. H municipalities can be financed with “bonus grants”;

Achievements/Results n n Developing cross-ethnic alliances at the community level by creating conditions for joint decision making; 10 % of citizens included in decision making process; As of today, 151 contracts have been signed for the total amount of EUR 6, 042, 545, out of which CDP funds were EUR 3, 994, 887 while local co-financing was EUR 1, 074, 759 (17. 7% of total) plus additional co-financing in kind (labor or material) for EUR 1, 044, 533 (17. 2% of total); Types of investments include: local roads (33 subprojects), water supply (31), electrification (7), sewage (11), education/school repair (16), health protection /ambulances (5) etc. ;

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