Conflict of Interest (COI) Policy for the TNCM

Transcription

1 Conflict of Interest (COI) Policy for the TNCM 1. Introduction Tanzania National Coordinating Mechanism (TNCM) is an expanded multisectoral Country Coordinating Mechanism (CCM) that coordinates the Global Fund grants for HIV/AIDS, TB and Malaria and other major international resources for the three diseases and health related epidemics that require inter-sectoral interventions. Some of the main functions, among others, include the following To facilitate and coordinate through transparent and documented process, the development of funding applications (proposals, phase 2 and RCC request) to the Global Fund Secretariat To select principle recipients (and sub recipients) in a transparent and documented process to manage the grants To oversee the grant implementation by having in place and implement oversight plan that ensures inputs of a broad range of stakeholders. TNCM is structured into two-tiers. Tier 1 is the Executive Committee that is the policy and decision making body and is composed of representatives from the Government, Development partners and civil society constituencies as per the Global Fund guidelines. Tier 2 is the Technical tier consisting of Technical Coordination Team that includes TACAIDS and programme managers HIV/AIDS, TB and malaria, and Technical Working Groups (TWG) for the three diseases. This technical tier processes and submits implementation progress reports to the Executive Committee. Tanzania Commission for AIDS (TACAIDS) is the Secretary to the TNCM and the Coordinator of the Global Fund grants. However, while the TNCM has consolidated and expanded its roles and functions, the facilitation, 1

2 coordination and oversight roles of the TNCM have become increasingly challenging as the amounts of the grants and recipients increase during the last decade. The grants from the Fund have increased from about USD 80M in 2002 to 943.6M in 2011 with multiple Principal Recipients (PRs) and hundreds of public and non public implementing agencies. Some of the challenges, among others, are in relation to effective oversight over the grants and conflict of interest within the TNCM. This document attempts to address the conflict on interest policy of the TNCM. 2. Definition of COI in the TNCM context. As defined in Annex 3 of the TNCM structure and functions, the concept of conflict of interest recognizes that the judgment of even the most wellmeaning persons may be impaired when their own interests or those of close associates, including closely-associated organizations, are affected. In general, a conflict of interest occurs when TNCM members and members of the Secretariat use their positions to advance personal ambitions or the interests of the institution or sector they represent in a way that biases or excludes others, or is detrimental to the efficiency of the overall program. Conflicts of interest in the TNCM can arise whenever members of the TNCM participate in discussions and decisions in which they have a personal interest or in which the organisation they represent has an interest. 3. Why it is necessary for the TNCM to have the COI policy To be in conformity with the new CCM guideline endorsed on May 2011 by the Global Fund Board, and in order to play its role and fiunction on a transparent manner, TNCM must show evidence that a policy on conflict of 2

3 interest is implemented to ensure adequate management of conflict of interest. By implementing the COI policy the TNCM will Protect members whose financial interests or those of close associates could be affected Strengthen the credibility of the TNCM within itself, among the stakeholders and in the eyes of general public that TNCM is not another corrupt organization that the Tanzania community is so much sensitive to. 4. Guiding Principles In addressing conflict of interest issues, the TNCM shall be guided by the following principles: Principle 4.1: The TNCM shall address all actual and potential conflict of interest issues within its members. This applies to members of the Executive Committee, the Secretariat, the Technical Coordinating Team, and the Technical Working Groups in Tier 2 of the TNCM structure. Principle 4.2: All TNCM members shall declare any conflict of interest that may arise, or may reasonably be perceived to arise in the course of undertaking their duties within the TNCM particularly in matters concerning discussions on new proposals or new sources of funding. Principle 4.3: The TNCM secretariat is independent from PR and SR. It is the body that supports the TNCM functioning and follows up on TNCM budget. Principle 4.4: The TNCM secretariat (and particularly the secretary) records all issues related to conflicts of interest Principle 4.5: An independent committee or sub-committee should implement the policy on conflict of interest and manage all arisen conflicts of interest 3

4 5. Potential Areas of COI in TNCM The structure and membership of the TNCM reflect inherent COI as most of the Government and Civil society constituencies members are in one way or another involved in the direct management of the grants. In this regard COI may occur in various ways at any stage from proposal development to the management of the grant Structural issues: There is no existing policy on conflict of interest or record on past acknowledged conflicts of interest. There is neither sub-committee nor designated person to arbitrate conflicts of interest that may arise. Arbitration of conflict of interests is unclear. The secretary of the TNCM is at the same time the global fund coordinator for TACAIDS. Furthermore, the secretariat of TNCM is physically hosted by TACAIDS. This situation (same person appointed for two separate duties and two institutions settled in only one office only one desk) can increase the confusion on the separation of tasks leading to create a potential source of conflict of interest. The TNCM secretariat never applied for a budget and relies on TACAIDS and partners budgets only. This lack of financial independency could lead to become source of conflict of interest. 5.2 Management of TNCM meetings: At TNCM meetings, participants do not have a clear idea of who is member of TNCM and who is not, among all participants. Furthermore, it seems that members can sit at TNCM for a while, even if the governing rule of TNCM stipulates that membership is for 2 years. There are no clear voting procedures for decision making The minutes of TNCM meetings do not reflect enough the discussion and decisions taken with clear commitment of actors involved. This situations leads to unclear accountability and as a result, to potential source of COI. 4

5 5.3. Involvement of TNCM in proposal development Stakeholders submit concept papers with the hope of being included in the proposal and become recipients of the grant. The constituencies or organizations of TNCM members who participate in the proposal development process may be recipients of the grants TNCM members may have friends or relatives whom run businesses that are recipients of Global fund grants or may provide services to Global fund funded projects 5.4. Grant Oversight by TNCM COI may arise in the implementation of the grants due to various reasons During grant implementation some TNCM members are PRs /SRs of Global Fund grants; Government and Civil Society constituency or Organization. In TNCM meetings, the members may be involved in discussions of agenda items that have some financial, programmatic or administrative relationship with the businesses of the member or associates. TNCM members participation in oversight or review of Global Fund funded programs may have some personal relationship In procurement of goods and services members may have personal influence or benefits directly or indirectly through friends or relatives. 5

6 6. Proposed preventive measures to avoid COI In order to avoid or significantly minimize COI situations in the TNCM, the following steps are proposed: In order for the TNCM to implement and enforce the COI policy it is proposed to form a COI Committee. Separation of TNCM Secretary and Global Fund Coordination functions. Currently these two functions are performed by one person in TACAIDS. Apart from overburdening this person with multitude of double functions for the same organization is considered to constitute COI All disclosures of interest must be explicitly recorded in the minutes of the TNCM and COI Committee In order to maintain the principle of proactive management of conflict of interest, the Conflict of Interest Committee shall be required to ensure TNCM members complete conflict of interest declaration forms annually, and maintain an archive in the Secretariat. TNCM membership should truly represent a constituency to ensure broad involvement of the community in the affairs of the TNCM and minimize self interests of a single organization. Chair and Vice Chair should be from different constituencies. Being from the Civil Society constituency, the position of Vice Chair should be renewed by a secret ballot along with the renewal cycle of the civil society constituencies every third year. TNCM meetings are for the Executive Committee members. Therefore they should be seated in clearly designated front seats with name cards for easy identification and deliberations. Non TNCM members attending the TNCM meetings should be seated without name cards and in a dedicated space. TNCM members shall make formal, written declarations by filling a Declaration of Conflict of Interest form that is to be signed annually 6

7 and upon joining as a new member. Any oral declarations shall be documented in relevant meeting minutes. Any TNCM member with a conflict of interest shall upon disclosure, immediately exclude him or herself from the meeting proceedings, particularly where decisions are to be reached. Exclusion specifically entails the affected member leaving the room upon declaration of the conflict of interest. Should it be required, the affected member may return to the room to provide information required by the TNCM He/she must leave the room again once the said information has been provided. This rule applies particularly to members who are PRs or SR. Clear voting procedures shall be implemented with introduction of show of hands versus secret ballot according to the sensitivity of the decision to be taken. Selection of PRs (and SRs) should be done through a documented transparent process based on defined criteria. The TNCM secretariat should apply for a budget to GFATM secretariat for the operations of TNCM 7. Terms of reference for COI Committee The main role of the COI committee is to assist TNCM in the implementation of the COI policy in addressing any conflict of interest matters that arise and ensure effective measures are taken. It will also sensitize the TNCM members and the Secretariat on COI issues. Specifically the COI Committee shall: Sensitize TNCM members and the Secretariat on COI matters and their roles individually and collectively in implementing the COI policy. Facilitate the dissemination of the COI policy to all TNCM members and provide clarifications as necessary. 7

8 Ensure that TNCM members fill and sign the COI Declaration forms and that records are maintained by the Secretariat. Ensure that the selection processes of PRs and SRs are fair and transparent. Undertake any necessary inquiries and investigations related to instances of alleged conflict of interest and make recommendations on remedial actions. Present the report and recommendations to the TNCM for decision and action. Provide support to the TNCM Secretariat in tracking implementation of remedial actions endorsed by TNCM Undertake necessary investigations where conflict of interest was not declared. Regularly review TNCM members conflict of interest declarations, and conflict of interest disclosure statements to ensure conformity. Facilitate the review of the COI Policy periodically by the TNCM to ensure its effective response and relevance to current situations. 8. Composition of COI Committee In order to ensure impartiality as much as possible the size of the Committee shall be FIVE members and composed of TNCM and non TNCM members as follows: THREE TNCM members: ONE from each constituency; Government, Civil Society and Development partners. These will be nominated by their constituencies from among the TNCM members. TWO non-tncm members: TNCM will request the UN and local legal firm to nominate a person to be a member of the Committee The term of office for the COI committee shall be THREE years. At the end of the term, the respective constituencies and non TNCM organizations 8

9 will be requested to nominate new members. In any case, re-nomination is allowed. 9. Gifts COI policy also covers gifts that may constitute COI. TNCM members and members of the Secretariat are prohibited from accepting gifts under circumstances where it could reasonably be construed that the gift is motivated by the position of the member and whereby could affect substantially the decisions of the TNCM. The disposal of "gifts" received by any of the TNCM members which could have COI implications should be donated to a nonaffiliated charitable institution. 10. Remedial Measures In order to ensure fairness, each COI case shall be assessed on its own merit; hence the type of remedial measure to be proposed shall be casebased. Where the COI Committee confirms that a TNCM member failed to disclose a conflict of interest the following remedial measures shall be applied according to the judgement and recommendations of the COI Committee: Written warning: This measure shall be applied in instances where the conflict of interest has had limited repercussions on the work and reputation of the TNCM Suspension: This measure shall be applied where the repercussions of the conflict of interest demonstrate significant misconduct and where the TNCM need more time to further investigate the extent of the misconduct prior to making decisions Expulsion: This measure shall be applied in significant instances of conflict of interest, penal misconduct, and where the repercussions significantly affect the image, reputation and integrity of the TNCM. 9

10 10.4. Other sanctions may be applied as deemed appropriate by the TNCM. Resort to law and legal proceedings could be envisaged Decisions: As remedial decisions are in most cases difficult and may have far reaching implications on the individual, the recommended remedial measure shall be presented to the Executive Committee of the TNCM and secret ballot votes taken. The outcome of the vote shall be the decision of the TNCM. 11. Strengthening the operations of the TNCM In order to effectively and efficiently manage the operations of TNCM the following steps are proposed: The TNCM is managed with strictness and discipline to ensure active participation of the members and supported by limited number of the Secretariat staff. The TNCM reviews its guidelines regarding a members being recipients of Global Fund grants in order to avoid COI. The Secretary should be directly accountable to the Executive Committee of the TNCM through the Chair. The TNCM Secretary should be a senior level management person, who communicates confidently with senior government executives using the authority of the TNCM Chair. The TNCM secretary shall be recruited through a transparent selection process, and based on agreed criteria. The position should be advertised, and applications studied by an independent committee comprising a representative of each constituency The TNCM Secretary should be a well established office with qualified staff to assist the Secretary to effectively and efficiently manage the operations of the TNCM. The TNCM Secretary office should be located where he/she can easily communicate with the Chair and vice versa. 10

11 The TNCM secretary and secretariat should apply for a budget to the GFATM secretariat and then run the budget with appropriate procedures for follow-up by TNCM members (accountability) 11

12 Annex 1 Tanzania National Coordinating Mechanism (TNCM) Conflict of Interest Declaration Statement I, (name), pledge to comply with the TNCM Conflict of Interest Policy. As a TNCM member, alternate, employee or other interested party, I shall not discuss, advocate or vote on any matter in which I have a conflict, or potential conflict of interest, or any interest, which might reasonably appear to be in conflict with the concept of fairness when dealing with the business of the TNCM Global Fund funded Programs. I acknowledge that a conflict of interest or a potential conflict occurs if: a) I have a separate, private, monetary, or other interest, either direct or indirect; and/or b) The Organization that I represent may have a financial, administrative, or programmatic interest in issues or transactions under consideration in the TNCM. I hereby certify that I have read and understood the Conflict of Interest Policy. I therefore confirm that if I violate this provision, the TNCM, through the Conflict of Interest Committee, will take appropriate measures outlined in the Conflict of Interest Policy which may include Warning, Suspension or Termination of my membership in the TNCM I will also adhere to the Conflict of Interest Policy that requires me to declare a conflict or potential conflict of interest on a particular issue to the TNCM during the relevant meetings. I will state the nature of the conflict and acknowledge whether it is a private or monetary interest - direct or indirect. In such cases I shall excuse myself from TNCM discussions and voting concerning the matter in question. I further acknowledge that I am obliged to raise any conflict of interest I may be aware of amongst other members of the TNCM or implementing organizations to safeguard the TNCM reputation and ensure it adheres to ethical standards, and conducts business in a balanced and transparent manner. In keeping with the above principles and those further stated in the Conflict of Interest Policy, I would like to declare as follows: For the current year (2011): (Tick the item that applies) I do not have any foreseeable conflict of interest that relates to the functions and operations of the Global Fund grants in Tanzania. Alternatively, I have a conflict of interest. (Please fill out the table below.) TNCM Member Name: Constituency: Address: Telephone & 12

13 AFFILIATIONS THAT PRESENT CONFLICT OF INTEREST FOR THE TANZANIA NATIONAL COORDINATING MECHANISM (With respect to relationships with the TNCM s PRs and SRs; (see COI Policy for further clarification) Organization (Name and Address) Type of Organization (Government/Private/ NGO/FBO) Current Position in the Organization Any relationship with a PR? Any relationship with an SR? 13