Support to Water Supply and Sanitation Sector (SWSSS) Bangladesh HYSAWA FUND COMPONENT

Transcription

1 Government of Bangladesh Ministry of Foreign Affairs Denmark Support to Water Supply and Sanitation Sector (SWSSS) Bangladesh HYSAWA FUND COMPONENT Final Component Description Danida ref. no.: 104.Bang November 2010

2 Table of Content 1 Introduction Description of Component Brief Summary of the Component Objectives Strategies Outputs and Activities Approval Procedures and Implementation Steps Roles and Responsibilities Input Cross-cutting Concerns and Priority Themes Budget Management and Organisation Management and organisation of HYSAWA Formal procedures for decision making Key administrative procedures Financial Management and Procurement Flow of Funds Work Planning and Budgeting Fund Management at Partner Project Level Fund Management at UP Level Community Fund Management Auditing Procurement Monitoring, Reporting and Reviews HYSAWA Monitoring System Indicators Reporting Reviews Assessment of Key Assumptions, Sustainability and Risks Key Assumptions Main Risks Implementation Plan Annex 1 - Log frame Annex 2 - Area selection criteria Annex 3 - Detailed Budget Annex 4 HYSAWA Organogram ii

3 Abbreviations ADP BDT CDF CLTS CMP DPHE DPP EoD FMO GoB GoDK HYSAWA IEC LGD LGI LGSP M&E MD MoU PNGO PPR PRA PRS SAE SDP SO SWAp SWSSS UP WSS Annual Development Plan Bangladesh Taka Community Development Forum Community Led Total Sanitation Community Management Promotion Department of Public Health Engineering Development Project Proposal Embassy of Denmark Fund Management Office Government of Bangladesh Government of Denmark Hygiene, Sanitation and Water Supply Information, Education and Communication Local Government Division Local Government Institutions Local Government Support Programme Monitoring and Evaluation Managing Director Memorandum of Understanding Partner NGO Public Procurement Rules Participatory Rural Appraisal Poverty Reduction Strategy Sub-Assistance Engineer Sector Development Plan Support Organisation Sector Wide Approach Support to the Water Supply and Sanitation Sector Union Parishads Water Supply and Sanitation Exchange rate: 1 DKK = 13 BDT General information about the HYSAWA Fund, news letter, progress reports, manuals etc. is available from: iii

4 1 Introduction Bangladesh has during the last couple of decades made significant achievements in the water supply and sanitation (WSS) sector. Access to domestic water supply, through affordable and easy to install hand pumps, is almost universal in the rural areas. Significant improvement in sanitation coverage is also being achieved through Community Led Total Sanitation Campaigns (CLTS) and many other initiatives. Despite the improvements in the coverage of both sanitation and water supply, many issues still hamper the delivery of sustainable water and sanitation services. Some of the challenges include the need for institutional reforms, modernisation and strengthening of sector institutions and not least of the LGIs (Local Government Institutions), especially Union Parishads (UP), the development of regulatory frameworks etc. The prevailing problem of arsenic contamination of groundwater and the lowering of the ground water table due to excessive extraction of groundwater for irrigation also continues to be a real challenge in terms of sustainable improvement of the water supply coverage. Sector policies and strategies have been developed in a large number of areas (with decentralisation as a prominent exception) but so far GoB has not succeeded in setting up a common framework for future development. However, it is expected that the forthcoming revised Sector Development Plan (SDP) will include action plans for the development of the strategic, institutional and regulatory sector framework and a roadmap for moving towards a SWAp. The third phase of Danish support to WSS sector (entitled Support to the Water Supply and Sanitation Sector - SWSSS) has duration of 4 years ( ) and will comprise two components: 1. the Sector Policy Support Component and 2. the HYSAWA Fund Component. The Danish contribution to the SWSSS totals DKK 200 million (BDT 260 crore). 1

5 2 Description of Component 2.1 Brief Summary of the Component The HYSAWA Fund is designed as a multi-donor funding mechanism for large-scale delivery of sanitation and water supply facilities with known technological options. The Fund was established in 2007 and have until now been supported by Bangladesh, Australia and Denmark. The HYSAWA Fund will fund UP schemes for hygiene promotion, sanitation and water supply. The schemes will be implemented by the UPs. The UPs will be capacitated and given technical and financial support to ensure successful implementation. The UP schemes will be identified through a bottom up participatory planning process. The Fund is expected to assist approximately 350 UP. The HYSAWA Fund will sign MoU with interested UPs. The UP staff and elected members will be given formal training in accounting and bookkeeping, project design, tendering and monitoring. The UPs will receive assistance from support organisation in connection with the preparation and implementation of the UP schemes. Hygiene promotion and sanitation promotion will be delivered integrated through CLTS by a partner NGO (PNGO) contracted by the UPs. The users are expected to be motivated and install their own latrine. Local contractors contracted by the UPs will construct the water supply. The HYSAWA Fund will support implementation or promotion of a range of appropriate technical options for water supply and sanitation, i.e. deep hand tube wells, dug/ring wells, pond sand filters, rain water harvesting, mini piped water supply schemes, gravity flow systems and various types of household, community and school latrines. The application of the various technologies will depend on the local conditions and technical and financial feasibility. The HYSAWA Fund will only support the implementation of mini piped water schemes or small gravity systems in case collaboration is established with organisations that have the sufficient capacity and competence to survey, design, implement and supervise such activities. 2.2 Objectives Development Objective The development objective for the Danish support to the water supply and sanitation sector in Bangladesh is: Reduced poverty within the 6 th Five-Year Plan development objectives for safe water and sanitation in Bangladesh. Immediate Objectives The HYSAWA Fund Component will contribute to achieving the development objectives through the following immediate objectives: 1. Local government institutions capacity strengthened for service delivery in water supply and sanitation in the intervention areas 2. Hygiene behavior improved in the intervention areas 2

6 3. Access to hygienic sanitation and safe drinking water improved in the intervention areas. 2.3 Strategies The HYSAWA Fund is expected to support water supply and sanitation activities in three districts in the southern coastal belt, in five districts in the North-western region and in three districts in the Chittagong Hill Tracts, in total app. 350 Union Parishads (UP). The final list of UPs will depend on interest expressed, formal assessment of eligibility criteria and the actual needs as identified by poverty surveys, baselines etc. Strategy for Selection of Intervention Areas The HYSAWA Fund can work in areas if known and well proven approaches and technologies exist. The selection of intervention areas for the HYSAWA Fund will be based on a set of criteria aiming at ensuring smooth large scale implementation adapted to the nature of the HYSAWA Fund. The criteria are: 1. There are defined needs for WatSan projects, i.e. un- or underserved 1 poor and disadvantaged communities not having access to water supply and sanitation. 2. There is no duplication of WatSan activities in the local area. 3. UP functionaries are willing to participate in the project. 4. Good audit track record. 5. Previous experience in management of relevant development work. 6. Economics of scale (UPs located in one specific area, e.g. a district). 7. Technical solutions are readily available and simple so that there is no uncertainty and no time gap to develop new technologies. The following areas would be considered for implementation when the above selection criteria are applied: districts in Rajshahi Division, Dhaka Division, Chittagong Hill Tracts and in Coastal Belt. The description of the possible interventions areas is presented in Annexe 2. Based on the above criteria, the implementation will start in Rajshahi Division and selected areas in Chittagong Hill Tracts 2. The implementation will, when coverage has reached the desired level or demand has ceased, move to parts of Dhaka Division and could later start in Coastal Belt if time and funds permit. When implementing activities is it important that the right sequence of interventions and activities is adhered to meaning that software activities are undertaken prior to construction work, and that construction work is properly followed-up with postconstruction O&M activities. In this connection it is important to establish a fund, which is administered by the local CDF, for future repair work. 1 Un- or underserved areas are areas with a coverage lower that the National target of 1 tube well for 50 persons. Both public and private tube wells will be considered in the calculation of coverage. This will include an assessment of functionality of the number of 1 st generation Tara-pumps in the area. 2 HYSAWA Fund will develop a specific strategy for support to CHT during the inception phase. The strategy will be based on lessons learnt from past and ongoing initiatives in CHT. The strategy will detail implementation of the HYSAWA delivery mechanism within the institutional setup in CHT. 3

7 Various technology options for rural water supply and sanitation will be applied depending on the local conditions and technical and financial feasibility. The HYSAWA Fund shall not implement rural piped water supply schemes on their own or through local organisations, who might not have the necessary technical competence to do survey, design, cost estimation and supervision of such work. Rural piped water supply schemes can however been supported through other organisations, if these have the necessary inhouse capacity and expertise to engage in such work. Barind Multi-Purpose Development Authority might be one partner to consider in this regard. Decentralisation Strategy The initial assessment of the first phase of the HYSAWA Fund Component indicates that it was successful in delivering WATSAN services through the Local Government Institutes i.e. the UPs. Based on the lessons learned from the pilot phase of the HYSAWA Fund, especially with regards to the weak capacity at UP level and among capacity building service providers, the challenge will be to identify interested UPs, with needs for water supply and sanitation, who are capable of taking charge of all aspects of planning and management of activities. The HYSAWA Component will continue as a decentralised initiative with focus on the UPs, PNGOs and local communities. The HYSAWA Fund management will continue as a lean and slim set-up to encourage UPs and local communities to take full charge of planning, management of works and services and monitoring of water supply and sanitation delivery. Direct funding from the HYSAWA Fund to the UPs is the key to empower these institutions and to promote greater devolution of administrative and financial power. The accountability of the UPs to the local people is ensured by setting up mandatory public disclosure systems, regular reporting, community involvement, regular internal monitoring and external audits carried out by the HYSAWA. Cross cutting issues like gender, access to people with a disability and governance are embedded into the participatory planning process (mainly PRA) and these are reflected in all field level activities. Low capacity at UP level (only 1 full time employed secretary and lack of knowledge and experience in general administration, procurement, and accounting) remains a serious concern and it is unlikely that most UPs will be able to manage water supply and sanitation delivery if not supported by external staff and trained in basic skills within public administration. Training of UPs chairmen, members and staff and the appointment of external support from the HYSAWA component are prerequisites for a decentralised service delivery mechanism. The implementation of the component will thus be based on the following approach. 4

8 Donor(s) and GoB UP Support Organisation Partner NGO HYSAWA Fund UP CDF (Community) UP training providers WSS Contractors CDF Formation, Scheme planning, Implementation This approach is the default approach of the component and variations to it should only be considered in special cases and only on request from UPs. UP Empowerment Strategy The following principles will apply to the empowerment of the UPs in the implementation of the component: 1. The UPs will be responsible for the prioritisation and planning of water supply facilities based on (1) requests from communities/villages and (2) maximum overall and annual allocations communicated by the HYSAWA Fund 3. Before sending the proposal to HYSAWA with a request for financing, the suggested schemes will be validated by the WATSAN committee and DPHE Sub-Assistant (SAE) at Upazila level. 2. UPs will exercise full disbursement authority for all funds related to construction of water supply schemes, hygiene education and community mobilisation. 3. Funds for training in basic public administration at UP level will be managed by HYSAWA as it is envisaged to provide a uniform training package to all UPs in the programme area. HYSAWA will ensure that the UP training as a minimum covers the topics used by LGSP. The curricula will be expanded where needed to ensure that the training covers the aspects needed for implementing the UP scheme and as such training methodology used by UPs covered by HYSAWA may be different from the one used by LGSP. 4. Funds for UP support staff (Support Organisation SO) during the programme period will also be managed by HYSAWA as this staff will provide assistance to all UPs within a District. The expected workload in a UP does not justify the recruitment of support staff dedicated to only one UP. The SOs will be recruited by the HYSAWA. Representatives from the UPs will participate in the selection process. The SOs contract will be output based and the services delivered will be certified by the UPs. 5. UPs will recruit the respective PNGOs. Funds for community mobilisation, hygiene and sanitation promotion i.e. payment of PNGO services, will be administered by the UPs. 3 An initial screening and analysis of needs will be carried out by the HYSAWA at the start of the component. 5

9 6. Progress reporting to HYSAWA and upper levels of the LGIs will be the responsibility of the UPs based on standard monitoring criteria developed in the first phase of the HYSAWA Fund. 7. Support to a UP will be terminated if mismanagement of funds is detected and legal actions would be taken against the UP by HYSAWA. HYSAWA has developed a UP Project Implementation Manual. Strategy for empowerment of beneficiary communities Community Development Forum (CDF) will be formed at the community level in the initial stage of the work with a view to develop their capacity to take over the responsibilities of planning, implementation, operation and maintenance of community schemes. To ensure participation of all sections of population in a village, including disadvantaged groups, the organizational structure includes: (1) extreme poor, (2) women and (3) general public including the richer sections of the community. This structure will ensure equitable representation in the organization will assist all segments of the community to bring their relevant agendas to the village development plan. The community consultation process during the initial feasibility study suggested naming the community organisation as CDF to highlight the introduction of multiple groups in the organisation. Community Management Promotion (CMP) methods will be used for planning and implementing the community schemes. CMP will be supported by the PNGO who has the role to develop community capacities to plan, implement, monitor and evaluate their development activities. The PNGOs recruited by UP will use appropriate instruments to form community organisations and develop their capacities for planning of WSS interventions and for later O&M of the installations. Community development, training and promotional activities for hygiene, sanitation and safe water to be carried out by the PNGOs will be interlinked and often overlapping. It is expected that the staff will spend 50% of their time on hygiene promotion, 30% on sanitation and 20% on water supply. Formulation of Community Schemes: The main items of community schemes will be: Community-Led Total Sanitation (CLTS) including hygiene promotion and water supply including O&M. The communities (CDF) will plan their own schemes with the assistance of the PNGO, according to their ability to contribute towards these investments, and will be fully responsible for the operation and maintenance of the system. People with a disability should be actively consulted and involved in the planning to ensure that the facilities and services meet the needs of people with disability. These community schemes are forwarded to UPs for appraisal and compiled into a consolidated proposal (UPscheme) to be submitted as a funding request to the HYSAWA. As described below, communities will provide a contribution to the investment as stipulated in the national strategy and bear all costs related to the O&M and rehabilitation of WSS facilities. Strategy for Hygiene Promotion. 6

10 Hygiene promotion will be implemented through the community organisations (CDF) following the CMP method as an integrated part of CTLS. The PNGO will facilitate the promotion. The hygiene promotion messages will follow Health Message Guidelines prepared by LGD. Hygiene promotion and CLTS will be the first activities in a community and they will start immediately after the approval of the UP scheme. In addition, the field staff of the Health Directorate will support the hygiene promotion activities as a part of their regular duties and Ministry of Education staff is also expected to carry out hygiene promotion in schools. The Upazila Development Committee coordinates the hygiene promotion activities. The FMO shall through the SOs and PNGOs ensure that a common and mainstreamed IEC approach is being applied in all UPs and local communities. This will ensure that the same and consistent messages are given to the communities, and this also makes the monitoring and quality assurance of IEC activities more effective. Professional printing and dissemination of IEC materials shall be ensured by FMO, SOs and PNGOs. Strategy for Promotion of Hygienic Sanitation. The CLTS approach will be adopted as per the National Sanitation Strategy (2005). As a result of the hygiene promotion and other functions of the CDFs, the communities are expected to be motivated to stop open defecation, install hygienic latrines or upgrade unhygienic latrines to hygienic latrines. HYSAWA will not subsidise any household latrine or other environmental sanitation aspects. HYSAWA will follow the Pro-poor Strategy for Water Supply and Sanitation Sector (2005) with respect to subsidies and the UPs will be supported in planning the utilisation of the government s special Annual Development Plan (ADP) allocation for sanitation (20% of the annual block grant to Upazilas) for delivery of latrines to poor households. HYSAWA will support installation of community and institutional latrines for groups of poor users and for schools as identified by the CDF. The communities will in these cases contribute 10-20% of the cost, while the remainder will be financed from the HYSAWA Fund. HYSAWA has developed a CLTS Training Module and a Hygiene Promotion Module for PNGOs. Strategy to Water Supply Provision The CDF will identify under-served areas for installation of community water installations, and the Pro-poor Strategy for Water and Sanitation Sector in Bangladesh, 2005 prepared by LGD will be followed. A technology choice will be made according to technical requirements and the community s ability to pay their share of the investment cost and the full cost of O&M. The CDF will be responsible for identifying tube-well sites and be fully responsible for O&M. The CDFs or the user groups will contribute 20% of the capital cost. The UPs will be responsible for contracting a suitable service provider for the construction of water supply installations. In case of arsenic contaminated areas, the water supply implementation modalities will follow the National Policy for Arsenic Mitigation and Implementation Plan, 2004, including relevant protocols prescribed under that policy. The HYSAWA fund can continue to operate in UP's where the national target of 1 water point per 50 persons is not achieved. The Fund 7

11 will start reducing its input to a UP where the average coverage is better than 1 water point per 75 persons. Strategy for Gender Equality The FMO, SOs and PNGOs will promote and mainstream gender quality through implementation of all relevant activities. The HYSAWA FMO will develop and implement a strategy for gender quality. Reference is also made to Chapter 3. In case, the HYSAWA Fund intends to support rural WSS activities in the Chittagong Hill Tracts area this will require a separate strategy and implementation approach. Such a strategy and the implementation approach shall be prepared in consultation with the relevant authorities, EoD and other DPs, if necessary. The HYSAWA Fund has developed a number of implementation related manuals, which describe in detail roles and responsibilities and implementation approaches. Among others the following have so far been developed: 1) HYSAWA Fund; 2) Community Development Forum; 3) Union Parishads; 4) Executive Engineer of DPHE; 5) Support Organisation; 6) Support Organisation; 7) Partner NGO; and 8) Ward Watsan Committee and 9) Directorate of Health Field Staff. Other manuals will be developed as and when needed. All existing manuals and guidelines shall be updated/revised during the inception phase, if necessary, and effectively communicated to all partners at all levels supported by the HYSAWA Fund. 2.4 Outputs and Activities Immediate Objective: Local government institutions capacity strengthened for service delivery in water supply and sanitation in the intervention areas Output 1. Technical, financial and management capacities of participating UPs increased through supply-driven capacity building support. The HYSAWA will recruit a UP capacity building service provider to conduct a number of courses for UP members and staff within the following areas: Planning, design and budgeting of WSS interventions. General administration Accounting Public procurement and contract management. Monitoring of activities. The UP service provider will issue an annual training calendar specifying where and when each course will be conducted. It is the responsibility for each UP to ensure that its staff and members have participated in the relevant courses. Documentation for the participation will be a precondition for submission of the proposal/transfer of funds for funding of the UP schemes through the HYSAWA Fund. The SO staff will participate in the same courses as the UP staff to ensure that they have knowledge about what the UP staff and members has learned. HYSAWA will further facilitate that the SO staff receive orientation in the overall component approach. 8

12 HYSAWA will engage a capacity building service provider to orient the PNGO staff in the component approach and to train these in the methodologies to be used for community mobilisation, hygiene, sanitation and water supply promotion. The major activities to achieve the above output are: Adjustment and updating of training courses for UP training developed during the previous phase (FMO, Training Provider). Publishing of annual training calendar for UP training (FMO, Training Provider). Carry out demand based training programmes to UP staff and SO staff (FMO, Training Provider). Implement training modules for PNGO staff (SOs). Carry out PNGO training (SOs). Output 2. UPs exercising the administrative and financial authorities delegated to them in a transparent and accountable way. HYSAWA Fund will sign a Memorandum of Understanding (MoU) with each participating UP. The MoU will specify the obligations of the UP and the HYSAWA in connection with the implementation of the UP schemes including annual and total planning figures for the UP. This will include introduction to the financial and procurement manuals applicable, the PPR and the standard tender documents developed by HYSAWA for "standard" tenders. The MoU will specify the schedule of payment according to set milestones and the accounting and auditing requirements. The HYSAWA will establish a quality control mechanism. The major activities to achieve the above output are: Review and refine Financial and Procurement Manual for UP (FMO). Apply risk minimization strategies and strategies for transparency and accountability, including application of PPR in procurement by UPs (FMO). Scheduling of payment according to set milestone (FMO). Recruit agencies/organizations for financial monitoring and audit of UPs (FMO). Establish a quality control mechanism and engage organization/agencies for quality assurance of WSS infrastructure building (FMO). Engage expert agencies in M&E function (FMO). Immediate Objective: Hygiene behaviour improved in the intervention areas. Output 3. Hygiene behaviour improved in the participating communities Hygiene behaviour improvement is the back bone of the effectiveness of the water and sanitation activities and as such will be implemented in close collaboration with those activities. A PNGO will be engaged by each UP to support the communities in hygiene, sanitation and water supply related activities. The PNGO will initiate the process through the CMP method, and hygiene promotion will be implemented as an integrated part of CLTS. This will also subsequently generate demand for further hygiene promotion, sanitation and safe water use. CDF leaders will be trained on participatory need assessment, planning, resource mobilisation and specifically to prepare community 9

13 schemes and their monitoring and follow-up activities for the scheme s sustainable operations. The CDFs will take a lead role in hygiene promotion activities and be supported by the PNGO. The PNGO will also assist the communities in processing the application for the community schemes. The PNGO will assist the UP and guide the CDF as needed and directed by the UP. The major activities related to hygiene promotion are: Train the PNGO in CLTS including hygiene promotion approach (SOs) Identify and prioritize intervention areas and target selected communities according to criteria established (UPs, SOs, PNGOs in consultation with FMO). Provide training to the concerned UPs and CDF leaders on planning and implementation of hygiene education activities (SOs, PNGOs). Conduct a series of motivational sessions (individual & group) among the community on hygiene promotion (PNGOs). Support CDF in preparation of community schemes (PNGOs) Immediate Objective: Access to hygienic sanitation and safe drinking water improved in the intervention areas. Output 4. Access to sanitation facilities and its proper use in the participating communities improved. The PNGO will carry out the sanitation related works in combination with the hygiene promotion activities. Sanitation under HYSAWA represents a wide scope i.e. the so called environmental sanitation, which in HYSAWA context includes keeping the surroundings clean, animal and solid waste management and small scale drainage. The main activities are: Provide training to the concerned UPs and CDF leaders on planning and implementation of CLTS approach (PNGOs). Conduct a series of motivational sessions (individual & group) among the community people on sanitation promotion and monitoring of progress in larine installation and eliminating open defecation (PNGOs). Identify and provide training to them in order to ensure availability of a range of sanitary latrine options to suit the different choices and peoples ability to pay (PNGOs). Provide technical support for installation of hygienic latrines by households themselves (PNGOs). Identify and install school latrines and conduct school based orientation sessions, and other motivational activities among the students, teachers and guardians on hygiene and sanitation (PNGOs). Identify, design and implement environmental sanitation improvement activities like installation of community latrines, small scale drains and waste disposal systems. Arrange training/motivational sessions for operation and maintenance (PNGOs). 10

14 Ensure that the design site location of school latrines and community latrines consider access and use by people with disabilities (PNGOs). Output 5. Access to safe water source and safe water use increased in the participating communities. The water supply activities will be contracted out by the UPs to local drilling contractors, who will drill tube wells and equip them with hand pumps. The PNGO will assist communities in scheme preparation and education in safe water use. The SO will assist the UP in preparation of tender documents, tendering and supervision of the contractor. The activities will include: Identify under-served areas and disadvantaged communities in accordance to criteria established (priority to hardcore poor, women headed households, people with disabilities), and formulate community based water supply plans (UPs in consultation with PNGOs). Ensure that the design and site location of the water supply installations consider access and use by people with disabilities (SOs, PNGOs). Conduct awareness sessions for proper operation, maintenance and protection of the water systems (PNGOs). Contract private service providers for installation of water supply systems (UPs) Establish systems for collecting user charges to ensure proper O&M of the water supply systems (PNGOs). 2.5 Approval Procedures and Implementation Steps The list below indicates the step for approval of a UP scheme. All 10 steps are followed in the first year the UP is participating, the steps 1 to 3 is skipped the following years and the process starts with the community mobilisation and project planning. Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 Step 7 Step 8 Step 9 Step 10 Expression of Interest by UP Assessment of need by HYSAWA, signing of MoU 4, training of UP members and staff Recruitment of PNGO by UP Community mobilisation, project planning, hygiene, sanitation and safe water use promotion 5 UP validate and prioritise Community Development Forum (CDF) projects and compile UP scheme Sub-Assistant Engineer DPHE validates the UP scheme and reports to Upazila WatSan Committee Assessments and funding by FMO Tendering of water supply and award of contract by UP Implementation of sanitation and water supply by UP and local contractors Monitoring, Evaluation and Audit by FMO, SOs and PNGOs. 4 The MoU should specify the conditions for UP participation and the commitment from HYSAWA Fund when the conditions are met. This will include communication of planning figures either annual or total figures. 5 The hygiene, sanitation and safe water use promotion will start immediately after the planning of the community schemes and these activities will continue until implementation of sanitation and water supply is complete. 11

15 The implementation steps and the sequencing of community level activities are: Com. Step 1 Creation of CDF, planning of community schemes by PNGOs (Step 4) Com. Step 2 Community management promotion by PNGOs (Step 4) Com. Step 3 Hygiene promotion and CLTS (continuous activity during the period working in the community) by PNGOs (Step 4) Com. Step 4 Implementation of Sanitation and Water Supply by CDF and local contractors (Step 9) Com. Step 5 O&M Water Supply (Step 9) Com. Step 6 Community level monitoring (Step 10) 2.6 Roles and Responsibilities Donors and GoB is communicating with the HYSAWA fund, both the Board and the FMO on policy direction and financial issues. The HYSAWA Fund is a funding mechanism for WSS. The Fund is operating through a fund management office. The HYSAWA Fund will enter into agreements with: (1) UPs on implementation of Hygiene Education, Sanitation and Water Supply, (2) UP capacity service building providers on formal "class room training" of UP members and staff, and (3) Support Organisations to assist the UPs with project preparation, implementation and on-the-job capacity building. The HYSAWA Fund will monitor the physical and financial progress with its own and with external staff. The UP will be responsible for community mobilisation, hygiene education, sanitation and water supply projects. The UP will receive technical assistance from a UP support organisation and formal training from the UP capacity building service provider. The UP will recruit a PNGO to carry out the community mobilisation, assist with the identification and planning of community schemes and the hygiene promotion and sanitation. The Community Development Forum (CDF) will be formed to plan, implement and operate and maintain the community schemes. The CDF will assist the PNGO in the mobilisation and CLTS activities. The UP Capacity Building Service Provider will carry out "class-room training of UP members and staff. The UP Service Provider will issue an annual training calendar specifying where and when each course will be conducted. It is the responsibility of each UP to ensure that its members participate in the relevant courses. Documentation for participation will be a precondition for funding of UP-schemes. UP Support Organisation (SO) will function as a consultant to the UP and provide on-thejob training to the UP members and staff and assist with all issues related to implementation. The SO will have the following expertise: technical, project design and management, accounting, tendering and monitoring. The SOs will be recruited by the HYSAWA. Representatives from the UPs will participate in the selection of the SO for 12

16 their area. The staff of the SO will receive orientation on the approach and expertise needed to work with the UP. Each SO at Upazila level should be staffed with one engineer/hydrogeologist to ensure proper supervision of the works. The PNGOs will carry out the community mobilisation and the hygiene promotion and sanitation according to the methodology used by HYSAWA. The staff of the PNGOs will receive training in this methodology. DPHE (Department of Public Health Engineering) is responsible for technical standard setting, enforcement of government regulations, technical support to UPs, national monitoring and reporting to government. DPHE will, through the SAE at Upazila level, validate the UP schemes and provide technical support upon request by the UP. HYSAWA had developed various guidelines, manuals and checklists, which describe the roles, responsibilities and tasks of various actors such as the UPs, SOs, PNGOs, contractors and FMO. 2.7 Input Communities The participating communities will contribute in total about BDT 71.1 crore (DKK 54.7 million) in cash and in kind. The communities will contribute a total BDT 31.3 crore (DKK 24.1 million) as their share of the cost for community schemes, i.e., i) 10-20% of the cost for the water supply installations depending on their ability to pay ii) 10-20% school/community latrines and public toilets in rural areas, ii) The communities are furthermore expected to make direct contributions, both in cash and in labour, of about BDT 35.0 crore (DKK 26.9 million) (BDT 1000 per HH latrine) for their own household latrines/sanitation and improvements in other environmental sanitation activities. Government of Bangladesh GoB will contribute at least BDT 44 crore, equivalent to DKK 33.8 million to the component, which will be released proportionately every financial year out of its ADP allocations. The GoB contribution is about 10% of the HYSAWA component. In addition to the above inputs against the budget allocation under HYSAWA Fund Component, GoB will also provide inputs from: The Secretary, LGD, who will be Chair of the HYSAWA Governing Board, and other Government Officials as designated members of the Board. The DPHE Sub-Assistant Engineer (SAE) at the Upazila level and the EE-DPHE at district level who will provide technical support, coordinate and monitor quality of the WSS managed by the UPs. Upazila WATSAN Committee members of which one is the Sub-Assistant Engineer who will contribute in validating UP schemes. The UP chairmen, members and secretary who will support and manage implementation of UP schemes. 13

17 Government of Denmark The contribution from GoDK for the HYSAWA Fund component will be DKK 174 million (BDT crore). The Danish funding will be used to finance cost as stipulated in the table below. Denmark will finance short-term international TA inputs estimated at 8 man-month for one hydro-geologist and 8 man-months of unspecified international inputs. Inputs by Other Donors The vision and the overall purpose of the HYSAWA Fund are to establish a common funding mechanism for the rural water and sanitation sector. Inputs from other donors to the HYSAWA Fund are not yet committed, but the Fund is established in such a way that funding from other sources can be accommodated. AusAID has contributed to the Fund since The expected contribution from AusAID and other donors amounts to BDT crore. Distribution of funds The financial input is proposed distributed as follows: Community GoB GoDK Other % % % % Service Delivery UP Capacity Building Fund Management M&E

18 3 Cross-cutting Concerns and Priority Themes The following cross cutting issues and priority themes will be imbedded in the community scheme preparation process and thus will be reflected in all implementation activities: Poverty The interventions will be designed and implemented to support poverty alleviation. The water supply facilities will be subsidized for the poorer sections of the population of unserved and underserved areas. Provisions for community sanitation facilities and low-cost sanitation options according to their affordability will be promoted. HYSAWA will adopt possible actions at the grass root level in accordance with the National Strategy for Accelerating Poverty Reduction ( ), the sixth Five Year Development Plan , and the LGD pro-poor strategy. Human Rights and Gender The communities will be responsible for planning and designing their schemes and the PNGOs will facilitate the overall process using the CMP approach. CMP will not only address the hygiene, sanitation and water supply related activities, but will also be able to address broader issues like equitable resource allocation and human rights, particularly improving the vulnerable situation of the poor and women. Providing an active role in development for people with disability (PWD) in designing and implementing projects at local level is important. Accessibility is vital to sustainability and communities will be assisted to find appropriate solutions that will meet the needs of vulnerable community members. The structure of the community organization, i.e. CDF, will comprise three groups: (a) poor, (b) women and (c) general public, i.e., including richer sections of the community. This structure will ensure equity-based representation of poor, both women and men and general families in the organization, and help all segments of the communities to bring their relevant agenda in the village development plan. HYSAWA will pay particular attention to gender balance in terms of participation in planning, selection of beneficiaries and management of project. HYSAWA data and progress will be collected and analyzed in a gender-segregated way. The M&E plan will include indictors relating to gender. The FMO, SOs and PNGOs will promote and mainstream gender quality through implementation of all relevant activities. FMOs will ensure that the SOs are trained and equipped with necessary qualifications and skills on gender equality issues, which should be passed on to PNGOs, who then will train the CDFs and promote gender quality in the communities. FMO will ensure that all designs and locations of community sanitation, water supply points and schemes are gender sensitive and also take into consideration the views, ideas and priorities of women. Equal employment and career opportunities for women and men shall be promoted at all levels and among all institutions supported by the HYSAWA FMO. The same accounts for female and male 15

19 participation in training programmes, study tours, seminars and workshops. Representation and involvement of women in committees, boards and other decisionmaking bodies on equal terms with the men shall be promoted wherever possible. Good Governance Good governance is ensured through establishing systems for accountability, community participation and transparency through mandatory public disclosure systems. Proper handling of funds by the UPs is addressed by setting up an accountability relationship with the people. The UPs will have a mandatory and transparent public disclosure system. The UP members are obliged to perform properly as the people will judge their performance, based on correct information, and may or may not elect them in the next election. In addition to this bottom-up monitoring, there will be a financial and performance monitoring from higher levels of governments and line agencies. Culture and Development The development interventions under the Project are planned and implemented considering the culture prevailing in the Bangladeshi society. Design, site selection and construction of WSS facilities are given due attention to privacy as well as cultural aspects. Traditional cultural events are an integral part of the social mobilization activities of the NGOs engaged by the UP. The voices of theatre groups, teachers, religious leaders and elderly people of the communities are respected and their acceptance in society is utilized by involving them in dissemination of WSS messages as part of the UP project. Environment Environmental improvement activities are undertaken under the CLTS campaign. This improves the local environmental situation in terms of cleanliness, proper waste management, etc. All the community schemes are technically appraised at the Upazila level, which includes environmental assessments. The FMO will through the SOs, PNGOs, CDFs, contractors and other partners promote and monitor that the wastewater from tube wells and other water facilities are properly discharged. Also the location of sanitation and water supply facilities, especially boreholes, shall be rightly place in order to ensure that groundwater reservoirs are not polluted. All water quality of all water points shall be tested before commission. Climate Change Bangladesh is considered as one of the most climate vulnerable countries in the world. It is estimated that climate changes could affect approximately half of the population of country due to the country s geographical location, low elevation, high population density, poor infrastructure, high levels of poverty and high dependency on natural resources. A review of WSS sector policy documents and plans 6 reveals that climate change issues are not addressed in any of the existing sector documents. The review also recommended some actions for HYSAWA. It is expected that the LGD through the PSU and DPHE will play a leading role in further developing practical measures to mitigate climate change and ensure that these are adopted and implemented. HYSAWA Fund will include and implement climate change measures in all its activities as relevant and 6 Climate Management Plan Water Supply and Sanitation Sector Bangladesh. PSU. Final Version. July

20 appropriate. All sanitation and water supply activities shall be made climate resistant. i.e. the platforms of tube wells shall be raised in flood prone areas, community latrines and water supply facilities shall be designed to resist extreme weather events. Tube wells should have depths that ensure functionality throughout longer drought periods and considerations shall be made in saline intruded areas. HYSAWA FMO will not carry out its own research, but will relay on research carried out by others. 17

21 4 Budget The total output based budget and annual cash flow (BDT is in Lac and million DKK) is shown below. The budget includes provision for 16 months of international consultancy, especially within hydrogeology. The detailed budget, output and input based as well as per calendar and fiscal year is included in Annexe 3. Ref No Output GoDK GoB Output.1 Output.2 Output.3 Output.4 Output.5 Technical, financial and management capacities of 350 UPs increased through supplydriven capacity building support from training, capacity building partners and HYSAWA FMO. UPs exercising the administrative and financial authorities delegated to them in a transparent and accountable way. Hygiene behaviour/practice improved in the participating communities. Access to sanitation facilities and its proper use achieved in the participating communities improved. Access to safe water source and safe water use increased in the participating communities Other Donors Community Total TOTAL Cash flow per calendar year: Total Community GoB GoDK Others Total Amounts in Lac BDT Cash flow per fiscal year: FY 11/12 FY 12/13 FY 13/14 FY 14/15 FY 15/16 Total Community GoB GoDK Others Total Amounts in Lac BDT Amounts in Lac BDT 18

22 5 Management and Organisation 5.1 Management and organisation of HYSAWA The component will be fully managed by the HYSAWA Fund. The Governing Board is overall responsible for the Fund and gives policy directions to the Managing Director who is responsible for the day-to-day management. The Board has members from both public and private sector as well as members from the donors supporting HYSAWA and is chaired by the Secretary LGD. The Board will follow Memorandum and Articles of Association approved by the registrar of the companies and the agreements signed with the respective donors as long as these are not in conflict with the Memorandum and Articles of Association. The board will approve HYSAWA policies and procedures as well as work plans and budgets. The HYSAWA Fund Management Office (FMO) will be responsible for the fund administration, technical supervision, overall monitoring, quality assurance and audit. Some of these functions will be outsourced to specialized individuals or agencies. These specialised individuals or agencies will act under the supervision of the FMO. The FMO will be staffed with a Managing Director, supported by Director Programme, Director M&E, Director Finance and Admin & HR Manager. Each director and manager will be supported by a small number of professional staff, inclusive one senior engineer and one senior sociologist. HYSAWA Fund will retain its current slim structure and operate with a minimum number of permanents staff and outsource tasks as mentioned above. The HYSAWA Fund has a strong anchorage with government institutions at the local and appropriate level through the UPs. The HYSAWA Board is also chaired by the Secretary of LGD and with representatives from DPHE, MoF and UP representatives. The Fund is process monitored externally by the Government, which ensures that lessons learned are being documented and that there is an external oversight of the progress and experiences gained by the HYSAWA Fund. An organogramme of HYSAWA is shown in Annex 4. The organogramme can updated as and when needed. 5.2 Formal procedures for decision making The Fund will operate based on agreements between GoB and bi- or multi-lateral donors. These agreements will stipulate the conditions for the grant and the Board will ensure that HYSAWA adhere to these. The Board will function as steering committee for the component and will approve the work plan and budget within the framework of the bilateral agreement between GoB and GoDK. 19

23 GoB, GoDK and other donors will field financial and technical review to assess the progress of the programme and to recommend on adjustments in the programme when needed. This can be done annually, if found necessary. 5.3 Key administrative procedures The staff management at HYSAWA FMO will follow the service rules and staff manual. The relationship between FMO and UP is guided by the HYSAWA implementation manuals (ref: 20

24 6 Financial Management and Procurement 6.1 Flow of Funds The arrangement for the flow of funds that has been agreed upon is based on the current arrangement being followed by EoD in other sectors. The existing HYSAWA Fund bank account may continue in operation. Danish funds to the HYSAWA Fund will be disbursed by the EoD to the account based on request by the Managing Director of HYSAWA FMO. Supporting documentation in the form of a bank balance statement and the budget for the coming 6 months shall be attached to the fund request. The component account will continue as a BDT account in a commercial bank. The Managing Director will continue to have the drawing right for the account. A system of joint signatures on all payments shall be applied. The GoB will transfer GoB fund to the HYSAWA Fund as per approved procedures issued by the Ministry of Finance. In the HYSAWA component, the applying agencies from GoB, SO, PNGO and the private sector will manage funds/sub-grants primarily for capacity building and facilitation services to UPs within the guidelines/framework provided by HYSAWA for financial and procurement management. Each implementing partner/pngo will be individually responsible for its own audits but will provide financial and procurement reports to HYSAWA and fund request to HYSAWA on a quarterly basis. A detailed guideline for implementing partners will be developed by HYSAWA during the inception phase and approved by the Board. The UPs will be responsible for fund management at the field level. The detailed procedures for planning, budgeting and implementation at the field level by UPs and other partners are given in the UP financial and procurement guidelines developed by HYSAWA. Funds from the HYSAWA Fund will be released in instalments the instalment will be released upon reaching some predetermined milestones. The Secretary of UP will be responsible for fund management and will keep record of expenditure, prepare financial reports and send these to the HYSAWA. The Secretary will receive formal training by the UP training provider and support by the SO. The matching contribution of beneficiary communities for water supply and sanitation facilities will be deposited to the separate accounts maintained by UP for HYSAWA activities. In the case of self-help items like household sanitation, the villagers will directly and fully contribute cash and labour. The participating UPs will open a separate bank account (HYSAWA Account) for the UP scheme. They will receive funds directly from HYSAWA Fund after the schemes have been approved by the HYSAWA. 21