World Bank Financed Sichuan Urban Development Project (SUDP)

RP360 V5

World Bank Financed Sichuan Urban Development Project (SUDP) Mianyang Sub-project Remaining Loan Adjustment- Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

Resettlement Action Plan

Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. November 2009 World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

Compilation Description The Resettlement Action Plan (RAP) is of great importance to smooth implementation of Science & Education Pioneer Park Project in Mianyang, Sichuan, especially to those affected by land acquisition and house demolition within the scope of the Project. Local governments, Mianyang Science and Technology City Development Investment (Group) Co., Ltd. and Southwest Municipal Engineering Design & Research Institute of China, which is a design institute, attempt to minimize adverse impact of the Project on local residents through constantly repeated optimum designs. Mianyang Science & Technology City Development Investment (Group) Co., Ltd. has prepared the RAP with the assistance of resettlement specialists from Research Institute of Foreign Capital Introduction and Utilization, Southwest Jiaotong University.

Mianyang Science and Technology City Development and Investment (Group) Co., Ltd.

November 2009

Mianyang Science and Technology City Development and World Bank Financed Projects 2 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

Contents CHAPTER 1 OVERVIEW...... 7 1.1 PROJECT DESCRIPTION...... 7 1.2 PREPARATION OF RESETTLEMENT ACTION PLAN...... 10 1.3 MEASURES TO REDUCE LAND ACQUISITION AND HOUSE DEMOLITION...... 10 1.3.1 Planning and design stage of the Project...... 10 1.3.2 Construction stage of the Project...... 11 1.3.3 Resettlement Action Plan for land acquisition and house demolition in the Project and implementation stage...... 11 CHAPTER 2 SOCIOECONOMIC SURVEY...... 13 2.1 SOCIOECONOMIC OVERVIEW OF PROJECT-AFFECTED AREA...... 13 2.1.1 Socioeconomic conditions of Mianyang City...... 13 2.1.2 Socioeconomic conditions of Science & Education Pioneer Park...... 15 2.1.3 Socioeconomic conditions of affected communities...... 16 2.2 SOCIOECONOMIC SURVEY BY SOUTHWEST JIAOTONG UNIVERSITY...... 16 2.3 SOCIOECONOMIC CHARACTERISTICS OF AFFECTED PERSONS...... 17 2.3.1 Overview...... 17 2.3.2 Human resources...... 17 2.3.3 Natural resources...... 19 2.3.3.1 Land ownership...... 19 2.3.3.2 Cultivated land, orchards and economic forest...... 19 2.3.3.3 Water sources...... 19 2.3.4 Material resources...... 19 2.3.4.1 Houses and attachments...... 19 2.3.4.2 Productive assets...... 20 2.3.4.3 Domestic durable goods...... 20 2.3.5 Financial resources...... 20 2.3.5.1 Income of households...... 20 2.3.5.2 Income sources...... 21 2.3.5.3 Consumption pattern and deposits...... 22 2.3.6 Vulnerable groups...... 22 CHAPTER 3 PROJECT IMPACT...... 24 3.1 SCOPE OF PROJECT IMPACT...... 24 3.2 MATERIAL INDICES OF PROJECT IMPACT...... 24 3.2.1 Permanent land acquisition...... 24 3.2.1.1 Amount of permanent land acquisition...... 24 3.2.1.2 Analysis on impact of permanent land acquisition...... 24 3.3.2 Land for temporary use...... 24 3.3.3 House demolition...... 25 3.3.4 Project-affected commercial shops...... 25 3.3.5 Project-affected enterprises...... 25 3.3.6 Project-affected population...... 26 3.3.7 Scattered trees, tombs and other attachments...... 26 3.3.8 Special facilities...... 26 CHAPTER 4 LEGAL FRAMEWORK AND RESETTLEMENT POLICY...... 28 4.1 POLICY BASIS...... 28 Mianyang Science and Technology City Development and World Bank Financed Projects 3 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

4.2 LAND ACQUISITION, HOUSE DEMOLITION AND RESETTLEMENT POLICIES...... 28 4.2.1 General objectives and principles...... 28 4.3 LAWS AND REGULATIONS CONCERNED...... 29 4.3.1 Regulations in Land Administration Law of the People's Republic of China...... 29 4.3.1.1 Ownership and right of use of land...... 29 4.3.1.2. General plans for the utilization of land...... 30 4.3.1.3 Protection of cultivated land...... 31 4.3.1.4 Land for construction purposes...... 32 4.3.2 Regulations concerning Interim Regulations of the People's Republic of China on Farmland Occupation Tax...... 37 4.3.3 Regulations concerning Decision of the State Council on Deepening Reformation and Strengthening Land Administration (GF [2004] No. 28)...... 38 4.3.4 Regulations in World Bank OP4.12...... 39 4.3.4.1 Policy objective...... 39 4.3.4.2 Resettlement plan...... 40 4.3.4.3 Social participation and involvement with original residents in the resettlement area...... 40 4.3.4.4 Socioeconomic survey...... 41 4.3.4.5 Selection and determination of resettlement areas...... 42 4.3.4.6 Assessment of and compensation to property loss...... 42 4.3.4.7 Housing, infrastructure and social service...... 43 4.3.4.8 Implementation progress, monitoring and assessment...... 43 4.3.4.9 Preparation...... 44 4.3.4.10 Implementation and supervision...... 44 CHAPTER 5 COMPENSATION STANDARD AND COMPENSATION BUDGET...... 45 5.1 COMPENSATION STANDARD...... 45 5.1.1 Compensation standards for land acquisition...... 45 5.1.1.1 Compensation standards for permanent land acquisition...... 45 5.1.1.2 Compensation standard for temporary land acquisition...... 45 5.1.1.3 Compensation standards for crops...... 45 5.1.2 Compensation standards for house demolition and the attachments...... 46 5.1.2.1 Compensation standards for house demolition...... 46 5.1.2.3 Compensation standards for sparsely scattered trees...... 48 5.1.3 Compensation standards for infrastructure and special facilities...... 51 5.2 ESTIMATE OF DISLOCATION COMPENSATION...... 51 CHAPTER 6 RESETTLEMENT AND PRODUCTION AND LIVELIHOOD DEVELOPMENT 55 6.1 GENERAL PRINCIPLES...... 55 6.2 SPECIFIC MEASURES FOR RESETTLEMENT...... 56 6.2.1 Resettlement measures for land acquisition...... 56 6.2.2 Resettlement measures for house demolition...... 58 6.2.3 Resettlement measures for commercial shops...... 58 6.2.4 Enterprise resettlement measures...... 58 6.2.5 Resettlement measures for vulnerable groups:...... 59 6.2.6 Relocation and construction planning for special facilities...... 61 CHAPTER 7 IMPLEMENTATION PLAN OF RESETTLEMENT...... 62 7.1 PROCEDURES OF IMPLEMENTATION...... 62 7.1.1 Land acquisition and compensation...... 62

7.1.2 Production recovery and allowance appropriation...... 62 7.1.3 House demolition and reconstruction...... 62 7.1.4 Rehabilitation of special projects...... 63 7.2 SCHEDULE...... 63 7.3 FUNDS APPROPRIATION...... 67 7.3.1 Appropriation principle...... 67 7.3.2 Organizations in charge of resettlement finance...... 67 7.3.3 Funds flow...... 67 CHAPTER 8 ORGANIZATIONS...... 70 8.1 ORGANIZATION FRAME...... 70 8.2 RESETTLEMENT AGENCY...... 70 8.3 RESPONSIBILITIES OF ORGANIZATIONS...... 72 8.3.1 Responsibilities of Mianyang Science & Education Pioneer Park Project Leading Group...... 72 8.3.2 Responsibilities of the Land Acquisition, House Demolition and Resettlement Office of the STCDI Group...... 73 8.3.3 Responsibilities of the Resettlement Office of the Sub-district Office...... 73 8.3.4 Responsibilities of communities...... 74 8.4 CAPACITY BUILDING AND STAFF TRAINING...... 74 CHAPTER 9 NEGOTIATION, GRIEVANCE AND PARTICIPATION...... 76 9.1 NEGOTIATION...... 76 9.1.1 Project stakeholders...... 76 9.1.1.1 Identification of Project stakeholders...... 76 9.1.1.2 Analysis of major stakeholders...... 76 9.1.2 Stage, ways and contents of public participation...... 78 9.1.3 Participation during the mobilization stage...... 80 9.1.3.1 Mobilization conference of the resettlement plan...... 80 9.1.4 Public opinion survey...... 82 9.1.5 Resettlement participation plan during implementation stage...... 86 9.2 DISSEMINATION AND INFORMATION PUBLICATION...... 86 9.3 GRIEVANCE CHANNELS...... 87 9.3.1 Collection methods of grievance and complaints...... 87 9.3.2 Grievance procedures...... 87 9.3.2.1 Stage I...... 87 9.3.2.2 Stage II...... 88 9.3.2.3 Stage III...... 88 9.3.2.4 Stage IV...... 88 9.3.3 Principle of handling grievance and complaints...... 88 9.3.4 Contents and ways of reply...... 88 9.3.4.1 Reply contents...... 88 9.3.4.2 Reply ways...... 89 9.3.5 Recorded grievance and final feedback...... 89 CHAPTER 10 MONITORING AND ASSESSMENT...... 90 10.1 INTERNAL MONITORING...... 90 10.1.1 Purpose and task...... 90 10.1.2 Organization and personnel...... 90 10.1.3 Contents of monitoring...... 90

10.1.4 Procedures of implementation...... 91 10.2 INDEPENDENT EXTERNAL MONITORING AND ASSESSMENT...... 91 10.2.1 Purpose and task...... 91 10.2.2 Organization and personnel...... 91 10.2.3 Key indicators of monitoring and assessment...... 92 10.2.4 Method of monitoring and assessment...... 92 10.2.5 Procedures...... 94 10.2.6 Report preparation plan...... 94 10.2.6.1 Resettlement Action Plan Report...... 94 10.2.6.2 Progress report of resettlement...... 94 10.2.6.3 Independent resettlement monitoring and assessment report...... 96 CHAPTER 11 POWER MATRIX...... 98 CHAPTER 12 ATTACHMENT...... 102 12.1 ATTACHMENT 1 HOUSING AREA LIST FOR THE HOUSEHOLDS AFFECTED BY HOUSE DEMOLITION...... 102 12.2 ATTACHMENT 2 LIST FOR ATTACHMENTS OF HOUSEHOLDS AFFECTED BY HOUSE DEMOLITION...... 107 12.3 ATTACHMENT 3 MFH [2008] NO. 105...... 116

Chapter 1 Overview 1.1 Project description Project Inspection Team of the World Bank (hereafter referred to as “WB”), who once came to Mianyang to inspect implementation of Mianyang subproject of WB loaned projects, confirmed periodic achievements in Mianyang subproject when exchanging views with Project Office of Sichuan Province. However, Project Manager, Mr. Suzuki, pointed out that the current project implementation had changed significantly compared to Feasibility Study Report which was approved by the WB in October 2006 so that the loans were not enough for all planned projects due to devaluation of USD against the RMB and increase of works paying ratio of WB loaned projects from 70% to 100% after Wenchuan Earthquake on May 12. Meanwhile, he recommended that the Employer not implement Contract Package MK1 and MK2 (Jiuzhou Avenue Flyover and North Section 3 of the 2nd Ring Road) of Science & Education Pioneer Park Project because they were not urgently needed for post-disaster reconstruction. Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. (hereafter referred to as “STCDI Group”) has analyzed investment of Mianyang subproject, the Science & Education Pioneer Park Project. The results show that only about 40 million yuan will be left after implementation of projects that have commenced and are to commence if the exchange rate is 6.83 and funding gap will reach to 138 million yuan if Contract Package MK1 and MK2 are continued. In addition, as required by the WB, before implementation of Contract Package MK1 and MK2, the municipal government must first construct 2.89km works in Section 4, 2nd Ring Road North with self-raised fund as it promised and submit reports such as Environmental Impact Assessment Report, Resettlement Report and Feasibility Study Report to the WB for approval according to relative requirements of the WB. The process will be rather complicated and it will cost much in early stage. Therefore, China Science and Technology City Committee recommends that: · Suggestion of the WB Project Manager should be adopted. Loans from the World Bank should not be put into Contract Package MK1 and MK2 of Science & Education Pioneer Park Project, i.e. flyover of Jiuzhou Avenue and Section 2, 2nd Ring Road North. · If the above two contract packages are not implemented, rest loans will be approximately 12 million dollars (approximately 91.86 million yuan based on the exchange rate of 1:6.83) and will be used in Infrastructure Project in Xinglong Area of Science & Education Pioneer Park within WB loaned projects. Related procedures will be submitted for approval as required by the WB during intermediate adjustment of WB loaned projects by STCDI Group. · Municipal Development and Reform Commission should be requested to lead this project adjustment and cooperate with the WB, Provincial Development and Reform Commission and Provincial Project Office for confirmation and affirmance. · After considering both suggestion of the WB and the actual situation, related departments at province and city levels have approved project adjustment

suggestion. Hence, loan amount of Xinglong Area is increased to 110 million from more than 50 million. The Project, WB Loaned Science & Education Pioneer Park Road Construction Project in Mianyang, Sichuan, is a comprehensive one in which road traffic, drainage, landscape projects are integrated. Project plan contents include subprojects such as roads, drainage, landscape and illumination. Road design is as per the planning and horizontal alignment is completely consistent with the planning. Current topography and landform of the Park is relatively complicated. Therefore, vertical elevation of roads is optimally adjusted based on the planning, with earth-stone works balance and quantities of works analyzed and flood control and drainage taken into consideration. Design of drainage works, which is based on master planning, is optimally adjusted as per pipe diameter and master planning after detailed hydrological computation. Main contents of landscape works is road greening. According to study in early stage of the Project and planning data adjustment, main works contents of Xinglong Area are roads of 4.61Km, rainwater and swage pipes of 9.22Km, landscaping, water and soil conservation, etc. Refer to Figure 1 and 2 for status quo of the Project. Road works of Xinglong Area of Science & Education Pioneer Park mainly include works of 6 roads whose total length is 4607.192m, in which 1# Road 1045.26m, 2# Road 313.973m, 3# Road 1101.052m, 4# Road 625.964, 5# Road 1102.741m, and 6# Road 418.202m. Secondary trunk roads, including 1# Road, 2# Road, 3# Road, 4# Road and 6# Road, are mainly planed to be 26m and 20m in the width. Branch road is 5# Road and planed to be 16m in the width. There will be both sidewalk and traffic lanes on roads. Public buses will be considered after completion. Road traffic networks of Xinglong Area and traffic framework of Science & Education Pioneer Park will be formed after completion of those roads. Refer to Table 1-1 for details about the works.

Table 1-1 Road construction scale in Xinglong Area Construction scale Description Width of road (m) Length of road (m) Area of road (m2) 1 1# Road 26 1045.26 27176.76 2 2# Road 26 313.973 8163.298 3 3# Road 26 1101.052 28627.352 4 4# Road 20 436.25 8725 5 5# Road 16 1102.741 17643.856 6 6# Road 20 418.202 8364.04 Data source: Feasibility Study Report

Figure 1 (status quo of roads Figure 2 (status quo of roads planned in the Project) planned in the Project)

The Project, WB Loaned Science & Education Pioneer Park Project, is a comprehensive one in which road traffic, drainage, landscape projects are integrated. Total investment of the Project is 113,523,300 yuan. For fund source of the Project, a loan of 16,105,410 dollars (110 million yuan in total) is applied to the World Bank and shortfall and compensation for land acquisition and house demolition will be raised by the Employer. See Table 1-2 for details of works cost. Table 1-2 Works cost of Xinglong Area Estimated works Contract cost Procurement NO. Contract description Remarks No. RMB(× 10, 000 mode yuan) 1# Road,2# Road,3# Road, 4# Road, 5# Road and 6# Road Civil 1 MY-LC-01 8178.31 NCB (including road surface, roadbed, works pipeline, and illumination) Data source: Feasibility Study Report Science & Education Pioneer Park is under construction now and its construction period is determined to be 2 years preliminarily. Proposed WB loaned projects are to commence in 2010 and the year of 2009 is preparation period. There are design stage and construction stage. In the design stage, shop drawing design is proposed to be completed before August 2009. Construction biding is proposed to be in early August 2010, and construction completion in Jan. 2011 to Dec. 2011, with a construction

period of 12 months. See Table 3 roads and works schedule of Xinglong Area for details. Table 1-3 Roads and works schedule of Xinglong Area Detailed 2009 2010 2011 NO. description 6 8 10 12 2 4 6 8 10 12 2 4 6 8 10 12 Project establishment, 1 approval and preliminary design Construction 2 design and bidding Work related to 3 house demolition, etc. Project commencement and 4 infrastructure works completion Completion of 5 road main body and supporting

6 Acceptance

Data source: Feasibility Study Report 1.2 Preparation of Resettlement Action Plan Resettlement Action Plan (RAP) of the Project is prepared by Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. with the assistance of Research Institute of Foreign Capital Introduction and Utilization, Southwest Jiaotong University. Southwest Municipal Engineering Design & Research Institute of China is responsible for preparation of feasibility study documents of the Project. With coordination of Mianyang Science and Technology City Development and Investment (Group) Co., Ltd., relocation office of Mianyang Science & Education Pioneer Park, affected communities and other departments, a group of 4 people from Research Institute of Foreign Capital Introduction and Utilization, Southwest Jiaotong University carried out a 10-day socioeconomic survey on areas affected by the Project, providing detailed and practical data and information for preparation of RAP. 1.3 Measures to reduce land acquisition and house demolition 1.3.1 Planning and design stage of the Project In construction of the Project, it is inevitable to involve land acquisition, house demolition and ressettlement and to affect orginial production and living conditions of local residents. In planning and design stage of the Project, Design Party and the

Employer have taken some effective measures to recude impact of construciton of the Project on local residents. 1) In optimization and comparision of design plans, positive impact of construction of the Project on local social economy is considered as mush as possible and taken as a key factor in optimization and comparision of design plan. Because the Project mainly involves extension based on original projects, land acquisition and house demolition is reduced significantly compared to new road construction. 2) With construction design optimized and construction period shortened, house demolition and construciton and construction time are arranged properly. 1.3.2 Construction stage of the Project 1) Public participation system is strengthened. Before construction of the Project, commencement time and construction schedule of the Project are informed in form of bulletin in affected areas of the Project and resettlement areas. In addition, compensation policies of land acquisition, house demolition and resettlement are published for supervision of resettlers and host residents in resettlement areas. 2) Measures to reduce dust are taken. Water is sprinkled on surface of various construction roads in densely populated areas to prevent dust so as to get a clean and cozy environment on construction site and reduce impact of construction on surrounding environment if weather is fine during construction and it is windy. Moreover, Construction Party will adjust transportation route of earth and stone in time and avoid overload in loading and transportation. Construction Party will also take measures to ensure that earth will not drop during transportation to prevent environment tidiness being affected by dropped earth. 3) Waste at construction site is subject to proper disposal. A great deal of domestic garbage and various kinds of waste will be generated everyday at construction site because of long construction period and a great number of construction personnel. The Employer and Construction Party shall clean away domestic waste at construction site in time as required by local environmental sanitation agencies to ensure construction site is tidy and clean and to avoid infectious diseases breeding and spreading. 4) It will be considered to give priority to local materials during construction of the Project. If techniques permit, priority will also be give to local transportation and labors to directly benefit project-affected persons from construction of the Project. 1.3.3 Resettlement Action Plan for land acquisition and house demolition in the Project and implementation stage During implementation stage of land acquisition and house demolition in the Project, the following measures will reduce resettlement risks:  The RAP is prepared for infrastructure projects within scope of WB financed projects.  Collection of basic information will be strengthened to analyze status quo and future development of local social economy in depth. Practical and feasible

resettlement measures will be developed based on actual situation in local area to ensure that living standards of affect persons will decrease due to construction of the Project.  With internal and external monitoring strengthened, efficient and smooth feedback systems and channels will be established. And information handling cycle will be shortened as much as possible to have various issues emerged in resettlement implementation solved in time.  Experience and lessons from resettlement of previous WB financed projects in the same area will be reviewed and drawn to reduce adverse impact of resettlement as much as possible.

Chapter 2 Socioeconomic Survey 2.1 Socioeconomic overview of project-affected area The Project affects Xinglong Community of Pioneer Park Sub-district Office, Mianyang Science & Education Pioneer Park. 2.1.1 Socioeconomic conditions of Mianyang City Mianyang is located at middle and upper reaches of Fujiang River in northwest of Sichuan Basin. Its geographic coordinates are latitude 30°42′N-33°03′N and longitude 103°45′E-105°43′E. Mianyang neighbors Nangchong City on the east, Suining City on the south, Deyang City on the southwest, Aba Tibetan and Qiang Autonomous Prefecture on the west, Gansu Province on the north and Guangyuan City on the northeast. Baoji-Chengdu Railway and National Highway 108 run through the north to the south of Mianyang, with several provincial roads connected to neighboring regions and cities. Mianyang, a science and technology city under construction is a famous culture and science & technology city which has a long history and abundant culture and where modern science and technology and industries are very developed. Mainyang has jurisdiction over Fucheng District, Youxian District, Anxian County, Santai County, Yanting County, Pingwu County and Beichuan County (6 counties in total) and governs Jiangyou City and Science City Office of People's Government of Sichuan Province on behalf of People's Government of Sichuan Province. There are 9 counties (cities/districts) and 1 county-level office in total in Mianyang, of which there are 127 villages, 121 sub-district offices, 3,458 rural communities, 11 urban sub- district offices and 288 residents' committee of sub-district offices. As a center of economy, culture, information and traffic in northwest of Sichuan Province and a important scientific research base, Mianyang is a comprehensive newly-emerged industrial city which focuses on electronic products. It ranks the second in Sichuan in terms of comprehensive economic power. Total population of Mianyang is mainly increasing in a natural manner, with rapid increase in urban population. Mianyang is rich in natural resources. More than 50 mineral resources have been explored with Mianyang, of which deposits of more than 20 ones, such as iron, manganese, lead, zinc, wolfram, gold, phosphorus, sulphur, coal, natural gas, petroleum, barite, limestone, granite, marble, calcite, dolomite, quartz, crystal and bittern are verified. Mineral resources are mainly distributed in mountainous areas in the northwest. There are mainly natural gas, petroleum, bittern and so on in hills and flat land. Ground surface is rich in building materials such as sand, stone and clay. Alluvial gold can be found in Fujiang River and its branches such as Pingtong River, Tongkou River, Anchang River. Such rich natural resources lay a solid material foundation for future economy development of Mianyang. In the past few thousand years of Mianyang, numerous cultural relics and historic sites have been left. At present, there are 1 national cultural relic protection unit, 8 province-level key cultural relic protection units, 40 scenic spots, and many places of historical interest, historical relics and natural scenic spots such as peaks, gorges, uncommon caves, grotesque stones, Leituan Mountain in Jiangyou City, Xiaoshanxia Gorge on Fujiang River, Yuanwang Cave in Beichuan County and Fenghuang Mianyang Science and Technology City Development and World Bank Financed Projects 13 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

Mountain in Santai County. Therefore, fine resources have been formed in Mianyang. With development of tertiary industry, it is certain that tourism will promote development of economy and urban sub-district offices directly and indirectly. In 2008, Mianyang suffered from impact of serious natural disasters such as the great earthquake on May 12 and international financial crisis. As a result, economic indicators decreased significantly. Under the leadership of Committee of Mianyang City, Government of Mianyang City, people in Mianyang attached equal importance to earthquake relief and economic construction and achieved resumed growth of economy. In addition, post-disaster reconstruction was going on smoothly while social stability was kept. According to preliminary estimation, GDP of Mianyang was increased by 4.5% which was 5 percentage points lower than that of Sichuan Province to 74.32 billion yuan in 2008 with the growth rate declined by 9.8 percentage points and ranked the third among the 6 seriously stricken areas. With regard to the three industries, values of the primary industry were increased by 15.81 billion yuan, with a growth rate of 0.2%, the secondary industry by 33.16 billion yuan, with a growth rate of 3.3% and tertiary industry by 25.35 billion yuan, with a growth rate of 8.4%. Proportion of the three industries was 21.3:44.6:34.1. Economy development slowed down in all counties and cities and was even growing negatively in seriously stricken areas/counties. In 2008, gross product was increased by 10.5% to 27.41 billion yuan in Fucheng District, by 9.8% to 7.14 billion yuan in Youxian District, by 10.8% to 10.46 billion yuan in Santai, by 9.7% to 4.62 billion yuan in Yanting and by 9.6% to 3.42 billion yuan in Zitong and decreased by 6.3% to 4.92 billion yuan in Anxian County, by 8.7% to 13.58 billion yuan in Jiangyou, by 24% to 1.31 billion yuan in Pingwu and by 29.1% to 1.02 billion yuan in Beichuan. Private economy had contributed much to GDP. In 2008, values of private economy were increased by 10% to 36.74 billion yuan, with the growth rate declined by 9.8 percentage points. These values accounted for 49.4% of GDP, GDP contribution rate reaching 105.9% and increased GDP by 4.8 percentage points. Price dropped in a steady manner. Consumer price index (CPI) in the whole year was increased by 5%, 0.1% lower than that of Sichuan Province, with the growth rated declined by 0.8% compared with that of 2007. Price increased by 12.6% for food, 3.2% for housing, 2.4% for tobacco, alcohol and commodities and 1.7% for household appliances and maintenance service. Ex-factory price index of industrial products was increased by 5.8% and purchase price index of raw materials, fuel and power for industries by 7.1%. Enterprisers became less confident. Due to impact of both earthquake and financial crisis, enterprisers were not as confident as they once had been. In 2008, confidence index of enterprisers in Mianyang was 107.6 points, declined by 24.5 ones. And business prosperity index was 102.6 points, declined by 48.1 ones. However, with national good policies to support post-disaster reconstruction and various measures to cope with finance crisis, enterprises’ confidence and optimistic expectations to macro- economy will be gradually restored and strengthened.

2.1.2 Socioeconomic conditions of Science & Education Pioneer Park Science & Education Pioneer Park, founded on Aug. 2001, is an innovation pioneer base established according to the decisions concerning the establishment of Mianyang Science and Technology City made by the Party Central Committee and the State Council and also an important carrier for the establishment of Mianyang Science and Technology City. In Sept. 2002, the Park was approved by the State Commission of Science and Technology for National Defense Industry and the Ministry of Science and Technology as National Science and Technology Park for Transfer of Military Technology for Civilian Use. In April 2005, the Park was successfully merged with Gardening Industrial Park in Fucheng District according to Mianyang Party Committee and Mianyang Government’s decisions on park management system adjustment. And in Jan. 2006, the park successfully was approved by the National Development and Reform Commission to be Mianyang Industrial Park and became one of 30 development zones reserved in Sichuan Province. The Park, which has a planned area of 12.89 km2, is located in the northwest of urban area of Mianyang and neighbors Fujiang River and Erqiao Bridge Section of the 1 st Ring Road on the east, Mianyang Exit of Mianyang-Guangyuan Highway on the west, High-tech Zone of Mianyang on the south and urban area of Mianyang on the north. With continuous construction and development of the Park, it has been a core carrier for construction of Mianyang Science and Technology City. Function of the Park is optimal. Construction of the Park is combined with that of new urban area. With high-level planning and construction, various technology and education resources are gathered and platforms for technology and education innovation and pioneering, development of military-civilian use transfer industry and talent introduction and training are established. Hence, the Park is gradually become the most prominent urban area in Mianyang Science and Technology City which have various functions such as new urban area, industrial parks for transfer of military technology for civilian use and new industrial parks. The investment environment is favorable. More than 700 million has been invested into infrastructure construction in the Park, with 22 roads whose total length is 21.75km within the completed area. Infrastructures such as water, electricity, gas, roads, communication facilities and rainwater and sewage pipes are completed while living facilities are being perfected gradually. In the Park, industrial standard factory buildings with an area of 20,000 m2 have been completed for external enterprises. There is no imported and exported commodity inspection and quarantine agencies, customs and bonded warehouses in Mianyang yet. However, traffic networks in Mianyang lead to all direction. Mianyang-Guangyuan Highway goes through the Park and is connected to the old urban area and Hi-tech Zone through Jiuzhou Avenue, west section of Jiannan Road and Yuantong Road. It is very convenient to go to the airport, the railway station and bust station from the Park, with quite convenient traffic and logistics as well as remarkable advantages in location of the Park. The Park has a bright future. In combination of the existing foundation and the actual situation, development of the Park in the future shall seize opportunities of construction of the Science and Technology City and post-disaster reconstruction to vigorously develop the military-civilian use transfer industry, software industry, environmental protection industry, headquarters economy and the modern service Mianyang Science and Technology City Development and World Bank Financed Projects 15 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

industry with the business occupancy as the main. Efforts are made to achieve the following goals: by 2011, process of technology socialization and functional diversification of social service have been obviously accelerated, development environment, bearing supporting capacity, hatchability and agglomeration level and degree of industrialization have reached the leading level; economic competitiveness, radiation influence and sustainable development capacity have been notably strengthened; mutual resource complementation, mutual promotion and coordinated development in the Park have been realized, with the military-civilian use transfer industry characterized by rational structure, complete functions and distinct features and modern service industry and its supporting demonstrative area established in the Science and Technology City. 2.1.3 Socioeconomic conditions of affected communities See Table 2-1 for main data on socioeconomic conditions of the affected community. Table 2-1 Main socioeconomic data of affected communities Description Unit Xinglong Community Villager group Nr. 2 Agricultural household Household 270 Agricultural population Person 576 Male population Person 293 Total labor Person 380 Migrant workers (including short-term ones) Person 303 Percentage of migrant workers in labor force % 80 Area of farmland mu 429 Per capita area of farmland mu 0.74 Total income from rural economy ×10,000 298 yuan Agricultural income ×10,000 45 yuan Percentage of agricultural income in total income % 15 Income of migrant workers ×10,000 230 yuan Percentage of migrant workers’ income in total income % 77 Net per capita income of farmers yuan 3620 Data source: field survey 2.2 Socioeconomic survey by Southwest Jiaotong University In order to get basic information on project-affected relocation households and analyze impact of construction on local resettlers, project survey team for Mianyang Science & Education Pioneer Park, which is from Southwest Jiaotong University, sampled households affected by land acquisition and house demolition at random. The team surveyed their basic production and living conditions according to similarity and difference among affected areas and among affected groups. Samples for survey on households affected by land acquisition and house demolition were selected randomly. The survey was performed in form of investigation, questionnaires and discussion meetings. The team surveyed socioeconomic conditions of 1 sub-district and 1 community affected by Science & Education Pioneer Park Project. 105 rural households (226 persons in total) were sampled, of which those Mianyang Science and Technology City Development and World Bank Financed Projects 16 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

affected by house demolition were 85 ones, accounting for 100% of all the relocation households and those affected by land acquisition were 105 ones, accounting for 48% of all the households affected by land acquisition (see Table 2-2 for distribution of surveyed samples). The team also got opinions and suggestion on the construction from 126 people. In addition, the team surveyed socioeconomic conditions of 1 community affected by the Project. Degree of the Project’s effect on material indices such as land and housing of affected persons was got according to summarized sampled household survey and data and feasibility study report and field survey on alignment of Design Institute. Sampled households, which were mainly affected ones in all the rural affected area involved in the Project, were very representative and typical. Survey methods for affected population, land, housing and attachments, scattered trees and special facilities were as follows: based on site boundaries which delimited communities, impact on housing and attachments were surveyed from household to household and then number of households and population affected by and involved in house demolition was surveyed; impact on land were surveyed from community to community and special facilities also from community to community. Table 2-2 Statistics of socioeconomic survey sample in Science & Education Pioneer Park Project Questionnaire for land Questionnaire Rural collective Questionnaire Public acquisition and for land economy for relocation opinion District Sub-district Community relocation acquisition questionnaire households questionnaire households in households (copies) (copies) (copies) rural area (copies) (copies)

Science & Education Xinglong Pioneer Park 105 105 85 126 1 Pioneer Community Park

Data source: field survey 2.3 Socioeconomic characteristics of affected persons 2.3.1 Overview Data collected in socioeconomic survey of Southwest Jiaotong University has been analyzed with production and living frame of farmers. In the frame, four different aspects of farmers' socioeconomic characteristics are considered: 1) Human resources: demography and education/skill characteristics; 2) Natrual resources: land, forests and water sources; 3) Material resources: ownership of production and consumers' assets, 4) Financial resources: income and expenses of farmers (conditions of loans). 2.3.2 Human resources Areas affected by Science & Education Pioneer Park Project are mainly agricultural ones. Table 2-3 shows total population in the affected community, percentage of rural population, estimated number of affected persons in rural area and percentage of

affected persons in the affected community. Figures in the table only cover those in the community affected by Science & Education Pioneer Park Project. Percentage of agricultural population is 100%. Table 2-3 Statistics of project-affected area and affected rural populatoin Description Xinglong Community Population of the community (person) 576 Percentage of rural population (%) 100 Number of affected persons (person) 235 Percentage of affected persons in the entire community (%) 41 Data source: field survey Table 2-4 shows population conditions in affected villages. The one affected community has a population of 576, which are all agricultural population. Labor force in affected villages is 380, accounting for 65.97% of total population in affected villages, and migrant workers are 303, accounting for 79.74% total labor force of affected villages. The sample survey involves 105 households, i.e. 226 persons, 79.86% of which are adults and 20.14% juveniles. See Table 2-5 for number of people at different ages. Table 2-4 Statistics of affected rural population in Science & Education Pioneer Park Project Description Unit Xinglong Community Agricultural household Household 270 Agricultural population Person 576 Total labor Person 380 Migrant workers Person 303 Percentage of migrant workers in labor force % 80 Data source: field survey Table 2-5 age composition of villagers affected by Science & Education Pioneer Park Project Percentage in total population Age Number of people (%) Below 18 46 20.14 18-25 26 11.31 26-35 37 16.52 36-45 59 26.02 46-55 25 10.86 56-65 17 7.69 Above 65 17 7.47 Total 226 100.00 Data source: field survey The surveyed groups are of low education. 27.35% of them have education degree lower than primary school and more than 87.46% lower than secondary school. About 10.21% have received senior middle school education and only 2.33% college education or other higher education. See Table 2-6 for details.

Table 2-6 Education level of villagers affected by Science & Education Pioneer Park Project Education level of adults Number of people Percentage in adults Preschool education 6 2.72% Education below primary school 4 1.97% Primary school education 51 22.66% Junior middle school education 136 60.11% Senior middle school education 23 10.21% Education above senior middle 5 2.33% school Total 226 100% Data source: field survey 2.3.3 Natural resources 2.3.3.1 Land ownership In 1980s, household contract responsibility system in which land was equally distributed based on scale of each household, i.e. number of household members substituted collective agricultural cultivation which began in 1950s. Land in villages is classified according to quality and distance. Therefore, land of different quality and classification is distributed to each household, which results that land distributed to each household is equal but scattered. Each household has signed contracts (contract period was 15 years at the beginning and changed to 30 years after 1998) which entitled those households to land use. However, in terms of ownership, the land still belongs to the original production group which is also known as villager group. 2.3.3.2 Cultivated land, orchards and economic forest The surveyed households have land of 167mu. Almost all households have some paddy field and dry land. In addition, 5% of these households have orchards which vary from 0.5mu to 1mu in area (trees in these orchards are mostly orange trees, with some pear trees and other fruit trees). Per capita contracted land of the households is 0.74mu. Cultivated land is relatively sufficient for most households. Meanwhile, the villages have a great of job opportunities because communities affected by the Project are located in development zone. Hence, most villages choose to become migrant workers and affected villages does not rely on land any more. At the same time, the affected persons will be provided with rural-to-urban resettlement after land acquisition. Then they will become residents of urban sub-district offices and receive some living expenses monthly. 2.3.3.3 Water sources Some cultivated land of all villages has water sources and some are dry land where bumper harvest of agricultural products can hardly be guaranteed by usual rainfall. Rice and vegetable fields are regarded as the most valuable ones. 2.3.4 Material resources 2.3.4.1 Houses and attachments The development zone was included into planning area of urban sub-district offices to implement integration of urban and rural areas in 2001. Villager cannot build and Mianyang Science and Technology City Development and World Bank Financed Projects 19 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

decorate houses without approval in the planning area. If housing conditions are to be improved, they shall be resettled in the planning area after development of the Project and house demolition. As a result, quite a number of houses in project area are of earth-wood or brick-wood structure, and most are of brick-concrete structure. Many households own houses of different structure. Many old houses are neither used nor demolished, or houses of different structure are used at the same time. Meanwhile, houses of most villagers have become dilapidated ones due to Wenchuan Earthquake in 2008 and the villagers can only live in temporary movable plank houses, which lead to inconvenient life. Therefore, they are looking forward to new house construction after house demolition. Construction of the Project provides them with such opportunities. Figure 3 and 4 shows typical house structure of villagers’ houses. See Table 2-7 for material resources in the project-affected area.

Figure 3 (Earth-wood structures of villagers) Figure 4 (Brick-concrete structures of villagers)

2.3.4.2 Productive assets As 10% of the households have threshers, 2% tractors and 80% motorcycles, rate of productive asset ownership in affected villages is not high. See Table 2-7 for details. 2.3.4.3 Domestic durable goods Ownership level of durable goods can show richness of household remarkably. Approximately 85% of the households own color televisions (many are cable ones), 36% VCD or similar appliance, approximately 18% washing machines and approximately 1/6 refrigerators. See Table 2-7 for details. 2.3.5 Financial resources 2.3.5.1 Income of households Table 2-8 shows income conditions of the surveyed 270 households in the community affected by Science & Education Pioneer Park Project. Only 8 households, which are mostly vulnerable ones, have per capita net income that is lower than 800 yuan. And 45 households, 16.67% of all the households in the affected community, have per capita net income of 800-1500 yuan and 162 households (60% of all the households in the affected community) more than 3000 yuan. The figures indicate that income of villagers in the affected community is at an ordinary level.

2.3.5.2 Income sources Most of the affected residents are migrant workers and this is their main income sources. 93.93% of the households are engaged in crop planting (or land is rent to others for rent) and such income takes up 14.02% of their total income. More than 85% of the households work for others (including temporary and short term work), and such income takes up 65% of their total income. 18.33% of the households are engaged in breeding and 15.39% in forest and fruit industry. Approximately 9.3% have income from other ways such as shop operation. Only 0.52% operates enterprises. See Table 2-9 for details. Table 2-7 Material resources House status Water supply Households Households Material % Mode % (household) (household) Brick-concrete Indoor running 89 57 28 18.19 structure water Running water at Brick-wood structure 24 15 56 36.00 courtyard Water well at Earth-wood structure 27 17 68 43.78 courtyard Other external Others 16 10 3 2.03 water sources All surveyed All surveyed 156 100 156 100 households households Durable goods Productive asset Item Ownership (%) Item Ownership (%) Washing machine 18% Agricultural truck 4% Refrigerator 15% Tractor 2% Telephone (fixed) 50% Thresher 10% Mobile phone 75% Water pump 25% Color TV 85% Tricycle 3% Black and white TV 18% Motorcycle 80% VCD, etc. 36% Automobile/taxi 5% Fan 21% Solar water heater 2% Data Source: socioeconomic survey of Southwest Jiaotong University Table 2-8 Distribution of household income of villagers affected by Science & Education Pioneer Park Project Horizontal distribution of per capita Total Percentage in total households annual income (household) number of Communit 800- households y <800 1500-3000 >3000 <800 800-1500 1500-3000 >3000 1500 surveyed yuan yuan yuan yuan yuan yuan yuan yuan (household) Xinglong 8 45 55 162 270 2.96 16.67 20.37 60.00 Community Data source: field survey

Table 2-9 Statistics of related income sources of households affected by Science & Education Pioneer Park Project Income Percentage of households involved in Average percentage of such income source in sources such income source all sources Grain 93.93% 14.02% Cash crop 15.39% 2.02% Forest and fruit 17.46% 1.65% industry Breeding 18.33% 1.43% Business 9.3% 2.48% Income from migrant workers 85.6% 74.98% (include that from short term work) Income for enterprise 2.52% 0.25% operation Others 25.94% 3.17% Data source: field survey 2.3.5.3 Consumption pattern and deposits Expenditure data of the 105 households indicates that per capita expenditure of each household surveyed was 2,586 yuan in 2008. In average consumption pattern of affected persons, expenditure on basic demand such as daily necessities has the most shares, i.e. 60%. Per capita deposits can be obtained by subtracting per capita expenditure from per capita income (3500-2586 =914). Deposits vary from household to household. 2.3.6 Vulnerable groups Table 2-10 shows conditions of the vulnerable groups affected by land acquisition and house demolition in Science & Education Pioneer Park Project. Vulnerable groups refer to the handicapped, households enjoying the five guarantees, extremely poor households, female headed households, households relying on agriculture more than 75%, etc. A few vulnerable groups are affected by the Project. Such households exist in both backward communities and rich ones, instead of gathering in some communities. They shall be treated differently and provided with special assistance to keep their post-project living the same as pre-project living or even better. Data in this table is based on estimation of leaders in the community and exact data will be identified after commencement of the Project.

Table 2-10 Statistics of vulnerable households affected by Science & Education Pioneer Park Project Households Extremely Female Households relying enjoying The poor headed on agriculture Community the five handicapped households households more than 75% guarantees (Person) (household) (household) (household) (person) Xinglong Community 1 6 8 2 5 Data source: field survey

Chapter 3 Project Impact 3.1 Scope of project impact Science & Education Pioneer Park Project affect one community of one sub-district. The impact of land acquisition includes permanent acquisition of various kinds of land and impact on various buildings and other attachments, relative equipment, infrastructures as well as impact of temporary land use. Material loss in the Project and number of affected population, which are based on feasibility study report of Design Institute will be finalized after further development of design and finalization of boundary lines of land acquisition. And then it will be suitable to sign compensation agreements with communities and villagers affected by the Project. 3.2 Material indices of project impact 3.2.1 Permanent land acquisition 3.2.1.1 Amount of permanent land acquisition Area of permanent land acquisition in Science & Education Pioneer Park Project totals 153.5mu, of which cultivated land totals 94mu (accounting for 61.24% of total land acquisition), orchards 4mu (accounting for 2.61% of total land acquisition), house site 25.5mu (accounting for 16.61% of total land acquisition), forest land 20mu (accounting for 13.03% of total land acquisition) and other land 10mu (accounting for 6.51% of total land acquisition). See Table 3-1 for details. 3.2.1.2 Analysis on impact of permanent land acquisition Area of cultivated land in the community affected by land acquisition is large, with per capita cultivated land up to 0.74mu. Cultivated land acquisition amounts to 94mu this time, taking up 21.91% of total cultivated land area (429mu) of affected villages. Therefore, these villages are not greatly affected. Since these communities are included into planning scope of urban sub-district offices, the cultivated land will be involved in land acquisition sooner or later. These villages are close to the development zone. Proportion of agricultural income in total income is very small and most villagers are migrant workers. Table 3-1 Statistics of permanent land acquisition in Science and Education Pioneer Park Project

Area of land acquisition (mu)c Community Cultivated Garden Forest Subtotal House site Others land plot land Xinglong 153.5 94 4 20 25.5 10 Community Data source: feasibility study report and field survey of Pioneer Park Sub-district Office 3.3.2 Land for temporary use Some temporary land use will be involved during construction of the Project. Design Institute estimates that temporary land use will be 50mu. The construction party will restore cultivation conditions of temporary land use and return the land to its owners. Construction companies will sign agreements with local land owners in terms of temporary land use. It shall be noted that the above amount of temporary land use is Mianyang Science and Technology City Development and World Bank Financed Projects 24 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

merely estimated one by Design Institute and the exact amount will be determined after construction party’s mobilization and negotiation with local government. 3.3.3 House demolition Area of demolition in the Project totals 24,145.585m2, which is all in rural area and includes area of commercial shops and small enterprises. 85 households (178 persons in total) are involved in house demolition in rural area. See Table 3-2 for details on each village and Attachment 1 each household. Table 3-2 Statistics of area of house demolition in Science and Education Pioneer Park Project Area of house demolition (m2) Communit Number of Persons Brick- y households Brick-concrete Earth-wood Simple (Person) wood Total (household) structure structure structure structure Xinglong 85 178 21110.03 2032.995 670.28 332.28 24145.585 Community Data source: feasibility study report and field survey of Pioneer Park Sub-district Office 3.3.4 Project-affected commercial shops 4 commercial shops are affected by the Project, with area of demolition up to 320m2 and 5 persons affected. These shops are all private ones. See Table 3-3 for the basic information. Table 3-3 Statistics of commercial shops affected Number Area of house demolition Community Description Name of owners of persons (m2) affected Grocery shop Chen Qingshou 30 1 Xinglong Grocery shop Wang Hongzhou 120 1 Community Grocery shop Xie Jicao 100 2 Grocery shop Xie Guangxiu 70 1 Total 4 4 320 5 Data source: field survey of Pioneer Park Sub-district Office 3.3.5 Project-affected enterprises The Project affects 3 small enterprises which are operated in houses rent from local villagers, with area of house demolition up to 370m2 and 10 staff affected. See Table 3-4 for details. Table 3-4 Statistics of enterprises affected Number of Name of person in- Demolition area (m2) Name of enterprise persons charge affected Car wash Chen Xin 70 2 Non-staple food processing Liu Beibei 100 3 plant Non-staple food processing Yu duomo 200 5 plant 3 370 10 Data source: field survey of Pioneer Park Sub-district Office

3.3.6 Project-affected population Project-affected population totals 188, in which 178 persons (262 households) are rural affected ones. 127 persons (area of cultivated land involved in land acquisition divided by per capita area of cultivated land) of rural affected ones are also affected by land acquisition, i.e. 262 households (this figure is obtained on the based of all households affected by land acquisition regardless of the amount. Since area of cultivated land involved in land acquisition is less than the per capital area of cultivated land of 1 person, households affected by land acquisition is more than persons affected by land acquisition). Rural demolition in the Project affects 178 persons (including the 5 affected by demolition of commercial shops. Because they are the owners, they are included in persons affected by demolition), i.e. 85 households. Meanwhile, 178 persons (85 households) are affected by land acquisition and house demolition, and 10 persons (3 households) by enterprise relocation. See Table 3-5 for details. Table 3-5 Statistics of population affected by land acquisition and house demolition in Science & Education Pioneer Park Project Affected population in rural area Number of persons Number of persons Number of persons Total number of affected by both land Community affected by land affected by house affected persons acquisition and acquisition demolition house demolition Household Person Household Person Household Person Household Person Xinglong 262 178 262 127 85 178 85 178 Community Enterprise 3 10 3 10 Total 262/3 188 262 127 85/3 188 85 178 Data source: field survey of Pioneer Park Sub-district Office 3.3.7 Scattered trees, tombs and other attachments Project-affected scattered trees include those which are before and behind houses and in land and need cutting down or transplanting due to land acquisition of the Project and other trees affected by land acquisition. The Project affects 10,540 scattered trees, 500 tombs which are all private ones instead of public ones in total. See Attachment 2 for statistics of other attachments affected. 3.3.8 Special facilities Project-affected special facilities are mainly power lines, telecommunication lines and communication optical cables, water channels, water pipes, country roads, etc., which will be protected or restored during construction of the Project. As main project- affected special facilities will be restored by the construction party, relative cost will be included in cost of works rather than resettlement cost budget. See Table 3-6 for details on main project-affected special facilities.

Table 3-6 Statistics of special facilities affected Description Unit Xinglong Community 10KV electric pole Nr. 10 380V electric pole Nr. 40 Transformer Set 1 Open channel M 2000 Bridge Nr. 3 Highway M2 290 Tractor road M2 700 Water supply pipe M Drainage pipe M Motor pumped well Nr. 5 Power cable M 12000 Tap water pipeline M Data source: field survey of Pioneer Park Sub-district Office

Chapter 4 Legal Framework and Resettlement Policy The preparation of Resettlement Action Plan (RAP) for the Project and implementation of resettlement later shall be in strict accordance with involuntary resettlement requirements of World Bank. The resettlement shall be implemented in strict accordance with compensation standards for resettlement specified in the Action Plan. Any changes in the implementation must be approved by World Bank. 4.1 Policy basis The following is main legal and policy basis for land acquisition, house demolition and resettlement of the Project: 1) Land Administration Law of the People’s Republic of China (revised and approved at the Fourth Session of the Standing Committee of the Ninth National People's Congress on August 29, 1998) 2) Implementation Regulations on Land Administration Law of the People’s Republic of China (Decree No. 256 of the State Council of the People’s Republic of China); 3) Regulations on the Protection of Basic Farmland (decree No. 257 of the State Council of the People’s Republic of China); 4) Interim Regulations of the People's Republic of China on Farmland Occupation Tax (GWYGF (1987) No. 27 “Notice of the State Council on Announcement”); 5) Regulations for the Implementation of Forestry Law of the People's Republic of China (Decree No. 278 of the State Council of the People’s Republic of China); 6) Management Regulations on the Planning and Construction of Villages and Sub- district Offices (issued by Decree No. 116 of the State Council in 1993); 7) Decision of the State Council on Deepening Reformation and Strengthening Land Administration (GF [2004] No. 28); 8) Implementation Methods of Land Administration Law of the People’s Republic of China by Sichuan Province; 9) Notice of Mianyang Municipal People’s Government on Printing and Issuing Compensation Standards for Ground Attachments and Young Crops on the Land Acquisition (MFH [2008] No. 105); (detailed in Attachment 3) 10) World Bank OP4.12 Involuntary Resettlement. 4.2 Land acquisition, house demolition and resettlement policies 4.2.1 General objectives and principles Compensation and resettlement policies concerning affected groups are formulated based on laws and regulations of the People’s Republic of China as well as policies and requirements of World Bank. The top priority of the Resettlement Plan is to surely restore and improve incomes and living standards of affected groups after resettlement as soon as possible and minimize adverse impacts on their social and economic environment. The Resettlement Plan shall be prepared and later implemented around the priority above. Special attention shall be paid to the poorest population, women &

children and vulnerable groups to be resettled. In addition, involuntary relocation demands in the implementation of the Project have been considered in design optimization schemes by the design party. Land acquisition, house demolition and resettlement principles employed by the Project reflect laws and regulations of the People’s Republic of China and relevant requirements of World Bank. Table 4-1 summarizes principles concerned. Principles regarding compensation, land acquisition, house demolition and resettlement and income recovery in the Project are fairly flexible, which is a method to take into account differences (such as land redistribution, cash payment, income recovery measures depending on communities and individuals) from one village to another. All these principles are to ensure that affected groups can obtain adequate compensations and supports in the later stage of land acquisition, house demolition and resettlement, so as to restore and improve income levels and overall living conditions. Table 4-1 Resettlement principles - Summary No. Principles Compensations and entitlements to affected groups shall at least maintain their living standards the 1 same as those before the Project is available. All affected groups (irrespective of their entitlements) shall be considered in the compensation and 2 resettlement. Land shall be adjusted to ensure that minimum ownership of cultivated land for affected groups per 3 capita can support their living standards after resettlement. Provided cultivated land per capita after land acquisition fails to make a living, cash compensations or 4 similar activities to generate incomes shall be provided. All affected groups shall be informed of such information as entitlements, compensation modes and 5 standards, living and income recovery plans and project schedules and participate in the implementation of the Resettlement Plan. No land acquisition shall be allowed until affected groups have obtained their replaced land or been 6 compensated adequately. The implementation of compensations and the Resettlement Plan shall be monitored by the execution 7 organization and independent third-party. Special support measures and treatments shall be given to vulnerable groups to provide their living 8 allowances. 9 Affected groups in the Resettlement Plan shall stand a chance of benefiting from the Project. 10 The Resettlement Plan shall be combined with general plans of county/sub-district offices. 4.3 Laws and regulations concerned 4.3.1 Regulations in Land Administration Law of the People's Republic of China 4.3.1.1 Ownership and right of use of land Article 8 Land in the city proper is owned by the whole people, i.e. owned by the State. Land in the rural and suburban areas, except otherwise provided for by the State, shall be owned by collectives, including land for building houses, land and hills allowed to be collectively retained by farmers. Article 10 In lands collectively owned by farmers, those have been allocated to villagers for collective ownership according to law shall be operated and managed by village collective economic organizations or villagers' committees and those have allocated to two or more farmers collective economic organizations of a village, shall

be operated and managed jointly by the collective economic organizations of the village or villagers' groups; and those have allocated to township (sub-district offices) farmer collectives shall be operated and managed by the rural collective economic organizations of the township (sub-district offices). Article 11 People's government at the county level shall register and put on record land collectively owned by farmers and issue certificates to certify the ownership concerned. People's government at the county level shall register and put on record the use of land collectively owned by farmers for non-agricultural construction and issue certificates to certify the right to use the land for construction purposes. People's government at the country level shall register and put on record uses of land owned by the State by units or individuals and issue certificates to certify the right of use. The State Council shall designate specific units to register and put on record the State-owned land used by central government organs. Certifications of ownership or use right of wooded land and grassland and the uses or of water surface and beach land for breeding purpose shall be administrated according to relevant provisions of the Forest Law of the People’s Republic of China, the Grassland Law of the People’s Republic of China and the Fisheries Law of the People’s Republic of China. Article 12 Changes of owners and usages of land, shall go through the land alteration registration procedures. Article 13 The ownership and use right of land registered according to law shall be protected by law and no unit or individual is eligible to infringe upon it. Article 14 Land collectively owned by farmers shall be contracted out to run by members of the collective economic organizations for use in crop farming, forestry, animal husbandry and fisheries production under a term of 30 years. The party awarding the contract with the contractor shall conclude a contract to define the rights and obligations of both parties. Farmers who have contracted land for operation are obliged to use the land rationally according to the purposes agreed upon in the contracts. The right of land contractual operation by farmers shall be protected by law. Within the validity term of a contract, the adjustment of land contracted by individual contractors shall get the consent from over two-thirds majority vote of the villagers' congress or over two-thirds of villagers' representatives and then be submitted to land administrative departments of the township (sub-district offices) people’s government and county level People’s government for approval. 4.3.1.2. General plans for the utilization of land Article 19 General plans for land use shall be mapped out according to the following principles: 1) Strictly protect the basic farmland and control the occupation of agricultural land for non-agricultural purposes; 2) Raise the utilization rate of land; 3) Make an overall plan and arrangements about the use of land in various kinds and various areas; Mianyang Science and Technology City Development and World Bank Financed Projects 30 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

4) Protect and improve the ecological environment to ensure a sustainable use of land; 5) Keep a balance between the occupied area of cultivated land and the developed and reclaimed area of cultivated land. Article 22 The amount of land used for urban construction shall conform to the standards prescribed by the State so as to make full use of the existing land for construction purposes, not to occupy or occupy as less agricultural land as possible. Urban general planning and the planning of villages and market towns shall be in line with the general plans for land use. The amount of land for construction use in the urban general planning and the planning of villages and sub-district offices shall not exceed the amount of land used for construction purposes in cities, villages and sub- district offices fixed in the general plans for the utilization of land. The land for construction purposes in cities, villages and sub-district offices within the planned areas of cities, villages and sub-district offices shall conform to the city planning and the planning of villages and sub-district offices. Article 24 People’s governments at all levels shall strengthen the administration of plans for land use and exercise control of the aggregate land for construction purposes. Article 26 Revision of the general plans for land use shall be approved by the original organ of approval. Without approval, the usages of land defined in the general plans for the utilization of land shall not be changed. Whereas the purpose of land use defined in the general plans for the utilization of land needs to be changed due to the construction of large-scale energy, communications, water conservancy and other infrastructure projects approved by the State Council, it shall be changed according to the document of approval issued by the State Council. If the purpose of land defined in the general plans for the utilization of land needs to be changed due to the construction of energy, communications, water conservancy and other infrastructure projects approved by provinces, autonomous regions and municipalities, it shall be changed according to the document of approval issued by the provincial people’s governments if it falls into their terms of reference. 4.3.1.3 Protection of cultivated land Article 31 The State protects the cultivated land and strictly controls the conversion of cultivated land into non-cultivated land. The State fosters the system of compensations to cultivated land to be occupied. In the case of occupying cultivated land for non-agricultural construction, the units occupying the cultivated land shall be responsible for reclaiming the same amount of land in the same quality as occupied one according to the principle of reclaiming the same amount of land occupied. Whereas units, which occupy the cultivated land, are not available with conditions of reclamation of land or the land reclaimed is not up to requirements, the units concerned shall pay land reclamation fees prescribed by provinces, autonomous regions and municipalities for reclaiming land for cultivation the land reclaimed.

Article 32 The local people’s governments at and above the county level may demand units which occupy cultivated land to use the topsoil of the land occupied for use in the newly reclaimed land, poor land or other cultivated land for soil amelioration. Article 33 People’s governments of all provinces, autonomous regions and municipalities shall strictly implement the general plans for the utilization of land and annual plans for the use of land, adopt measures to ensure not to reduce the total amount of cultivated land within their jurisdictions. Whereas reductions occur, the State Council shall order it to organize land reclamation within the prescribed time limit to make up for the reduced land in the same quantity and quality and the land administrative department of the State Council shall, together with agricultural administrative department, examine and accept it. Whereas individual provinces and autonomous regions find it difficult to reclaim enough land to make up for the land occupied due to scarce reserve resources, the total amount of land due to be reclaimed in their own regions may be reduced with the approval of the State Council but the rest of land for reclamation shall be made up for elsewhere. Article 36 Land shall be used sparingly for non-agricultural construction purposes. Whereas wasteland can be used, no cultivated land shall be occupied; whereas poor land can be used, no good land shall be occupied. Article 41 The State encourages land consolidation. People’s governments of counties and townships (sub-district offices) shall organize rural collective economic organizations to carry out comprehensive consolidation of fields, water surface, roads, woods and villages according to the general plans for the utilization of land to raise the quality of cultivated land and increase areas for effective cultivation and improve the agricultural production conditions and ecological environment. Local people’s governments at all levels shall adopt measures to ameliorate medium- and low-yielding land and consolidate idle and scattered and abandoned land. Article 42 Whereas land is damaged due to digging, cave-in and occupation, the units or individuals occupying the land shall be responsible for reclamation according to the relevant provisions of the State; for lack of ability of reclamation or for failure to meet the required reclamation, land reclamation fees shall be paid, for use in land reclamation. Land reclaimed shall be first used for agricultural purposes. 4.3.1.4 Land for construction purposes Article 43 Any units or individuals that need land for construction purposes shall apply for the use of land owned by the State according to law, except land owned by farmer collectives used by collective economic organizations for building township enterprises or building houses for villagers or land owned by farmer collectives approved according to law for use in building public facilities or public welfare facilities of townships (sub-district offices). The term apply for the use of land owned by the State according to law used in the preceding paragraph refers to land owned by the State and also land originally owned by farmer collectives but having been expropriated by the State.

Article 44 Whereas occupation of land for construction purposes involves the conversion of agricultural land into land for construction purposes, the examination and approval procedures in this regard shall be required. For projects of roads, pipelines and large infrastructure approved by the People’s governments of provinces, autonomous regions and municipalities, land for construction has to be approved by the State Council whereas conversion of agricultural land is involved. Whereas agricultural land is converted into construction purposes as part of the efforts to implement the general plans for the utilization of land within the amount of land used for construction purposes as defined in the general plans for cities, villages and sub-district offices, it shall be approved batch by batch according to the annual plans for the use of land by the organs that approved the original general plans for the utilization of land. The specific projects within the scope of land approved for conversion shall be approved by the People’s governments of cities or counties. Land to be occupied for construction purposes other than those provided for in the second and third paragraphs of this article shall be approved by the People’s governments of provinces, autonomous region and municipalities whereas conversion of agricultural land into construction land is involved. Article 45 The expropriation of the following land shall be approved by the State Council: 1) Basic farmland; 2) Land exceeding 35 hectares outside the basic farmland; 3) Other land exceeding 70 hectares. Expropriation of land other than prescribed in the preceding paragraph shall be approved by the People’s governments of provinces, autonomous regions and municipalities and submitted to the State Council for the record. Expropriation of agricultural land shall first of all go through the examination and approval procedure for converting agricultural land into land for construction purposes according to the provisions of Article 44 of this law. Whereas conversion of land is approved by the State Council, the land expropriation examination and approval procedures shall be completed concurrently with the procedures for converting agricultural land to construction uses and no separate procedures are required. Whereas the conversion of land is approved by People’s governments of provinces, autonomous regions and municipalities within their terms of reference, land expropriation examination and approval procedures shall be completed at the same time and no separate procedures are required. Whereas the terms of reference have been exceeded, separate land expropriation examination and approval procedures shall be completed according to the provisions of the first paragraph of this article. Article 46 For expropriation of land by the State the local People’s governments at and above the county level shall make an announcement and organize the implementation after the approval according to the legal procedures. Owners or users of the land expropriated shall, within the time limit specified in the announcement, go through the compensation registration for expropriated land with

the land administrative departments of the local People’s governments on the strength of the land certificate. Article 47 In expropriating land, compensation shall be made according to the original purposes of the land expropriated. Compensation fees for land expropriated include land compensation fees, resettlement fees and compensation for ground attachments to or young crops on the land. The land compensation fees shall be 6-10 times the average output value of the three years preceding the expropriation of the cultivated land. The resettlement fee shall be calculated according to the number of agricultural population to be resettled. The number of agricultural population to be resettled shall be calculated by dividing the amount of cultivated land expropriated by the per capital land occupied of the unit whose land is expropriated. The resettlement fees for each agricultural person to be resettled shall be 4-6 times the average annual output value of the three years preceding the expropriation of the cultivated land. But the maximum resettlement fee per hectare of land expropriated shall not exceed 15 times of the average annual output value of the three years prior to the expropriation. The standards for land compensation and resettlement fees for land expropriated shall be determined by various provinces, autonomous regions and municipalities in reference to the land compensation fees and resettlement fees for cultivated land expropriated. The standards for compensation for ground attachments and young crops on the land expropriated shall be determined by various provinces, autonomous regions and municipalities. In expropriating vegetable fields in suburban areas, the units using the land shall pay new vegetable field development and construction funds. Whereas the land compensation fees and resettlement fees paid according to the provisions of the second paragraph of this article are not enough to maintain the original level of living, the resettlement fees may be increased with the approval of the people’s governments of provinces, autonomous regions and municipalities. But the combined total of land compensation fees and resettlement fees shall not exceed 30 times the average output value of the three years prior to the expropriation. In special circumstances, the State Council may raise the standards for land compensation and resettlement fees for land expropriated according to the social and economic development level. Article 48 After the plan for land compensation and resettlement fees is finalized, relevant local people’s governments shall make an announcement and hear the opinions of the rural collective economic organizations and farmers whose land has been expropriated. Article 49 Rural collective economic organizations shall make public to its members the receipts and expenditures of the land compensation fees for land expropriated and accept their supervision. It is forbidden to embezzle or divert the land compensation fees and other relevant expenses.

Article 50 Local people’s governments at all levels shall support rural collective economic organizations and farmers in their efforts toward development and operations or in starting up enterprises. Article 51 The standards for land compensation and methods of resettlement for land expropriated for building large and medium-sized water conservancy projects and hydroelectric power projects shall be determined separately by the State Council. Article 52 In the process of the feasibility study for construction projects, land administrative departments may examine the relevant matters concerning the land for construction purposes and put forward their proposals according to the general plans for the utilization of land, the annual plans for the use of land and standards for land used for construction purposes. Article 53 Whereas a construction project approved needs land owned by the State for construction purposes, the construction unit shall file an application with land administrative department of the People’s government at and above the county level with the power of approval on the strength of relevant documents required by law and administrative decrees. The land administrative department shall examine the application and submit it to the People’s government at the same level for approval. Article 54 A paid leasing shall be gone through in use of land owned by the State by a construction unit. But the following land may be obtained through government allocation with the approval of the people’s governments at and above the county level according to law: 1) Land for use by government organs and for military use; 2) Land for building urban infrastructure and for public welfare undertakings; 3) Land for building energy, communications and water conservancy and other infrastructure projects supported by the State; 4) Other land as provided for by the law and administrative decrees. Article 55 Construction units that have obtained State-owned land by paid leasing can use the land only after paying the land use right leasing fees and other fees and expenses according to the standards and ways prescribed by the State Council. Starting from the date when this law comes into effect, 30% of the land compensation fees for new construction land shall be handed over to the central finance, with the rest 70% to be retained by relevant local people’s governments, for the development of land for cultivation. Article 56 In using State-owned land, construction units shall use the land according to the provisions of the contract for compensated use of leased land use right or according to the provisions of the documents of approval concerning the allocation of land use right. The change of the land to construction purposes shall get the consent from the land administrative departments of the relevant people’s governments and be submitted to the people’s governments that originally give the approval for the use of land. In changing the purpose of land within the urban planned areas, the consent shall be obtained form the relevant urban planning administrative departments before submission for approval.

Article 57 In the case of temporary using State-owned land or land owned by farmer collectives by construction projects or geological survey teams, approval shall be obtained from the land administrative departments of local people’s governments at and above the county level. Whereas the land to be temporarily used is within the urban planned areas, the consent of the urban planning departments shall be obtained before being submitted for approval. Land users shall sign contracts for temporary use of land with relevant land administrative departments or rural collective organizations or villagers’ committees depending on the ownership of the land and pay land compensation fees for the temporary use of the land according to the standard specified in the contracts. Users who use the land temporarily shall use the land according to the purposes agreed upon in the contract for the temporary use of land and shall not build permanent structures. The term for the temporary use of land shall not usually exceed two years. Article 58 In one of the following cases, the land administrative departments of relevant people’s governments shall recover the land use right of State-owned land with the approval of the people’s governments that originally gives the approval or the people’s governments with the power of approval: 1) Use land for the sake of public interests; 2) Use land for adjustment in re-building old city districts in order to implement urban construction plans; 3) When the term for the land use right expires according to what is agreed upon in the contract for compensated use of land, the land user has failed to apply for extension or failed to get approval for extension; 4) The use of land originally allocated has been stopped due to cancellation or removal of units; 5) Roads, railways, airports and mining sites that have been approved to be abandoned. Proper compensations shall be given to land use right users whereas the use right of State-owned land is recovered according to the provisions of items 1 and 2 of the preceding paragraph. Article 61 In using land for building public facilities and public welfare facilities, townships (sub-district offices) shall file an application with land administrative departments of local People’s governments at and above the county level after being examined by the township (sub-district offices) people’s governments at and the application shall be approved by the local people’s governments at and above the county level according to the term of reference provided for by provinces, autonomous regions and municipalities. Where occupation of agricultural land is involved, the examination and approval procedures provided for in Article 44 of this law are required. Article 62 One rural household can own one piece of land for building house, with the area not exceeding the standards provided for by provinces, autonomous regions and municipalities.

Construction of rural houses shall conform to the general plans for the utilization of land of townships (sub-district offices) and the original land occupied by houses and open spaces of villages shall be used as much as possible for building houses. The use of land for building houses shall be examined by the township (sub-district offices) people’s governments and approved by the county people’s governments. Whereas occupation of agricultural land is involved, the examination and approval procedures provided for in Article 44 of this law are required. The application for housing land after selling or leasing houses shall not be approved. Article 63 The land use right of farmer collectives shall not be leased, transferred or rented for non-agricultural construction, except in the case of legal transfer of the land that conforms to the general plan for the utilization of land and legally obtained by enterprises due to bankruptcy or acquisition. Article 64 Buildings or structures put up before the general plans for the utilization of land and unconformable to the general plans are not allowed to be rebuilt or expanded. Article 65 In one of the following cases, the rural collective economic organizations may recover the land use right with the approval of the people’s government that gives the approval for the use of land: 1) Land needed for building public facilities and public welfare undertakings of townships (sub-district offices) and villages; 2) Land not used according to the purposes approved; 3) Land not used any more due to cancellation or removal of the original units. Proper compensations shall be given to land users in the case of recovering the land owned by farmer collectives provided for in item 1 of the preceding paragraph. 4.3.2 Regulations concerning Interim Regulations of the People's Republic of China on Farmland Occupation Tax Article 2 Farmland in this article refers to that for raising crops. Land that had been used to grow crops three years prior to the occupation shall be considered as farmland. Article 3 Organizations and individuals occupying farmland for housing construction or other non-agricultural purposes shall be regarded as taxpayers of the farmland occupation tax (hereinafter referred to as “taxpayers”), and pay the farmland occupation tax in accordance with this article. Article 4 Farmland occupation tax shall be calculated as per farmland areas actually occupied by the taxpayers, and levied once pursuant to the amount of tax specified. Article 5 The following is the amount of farmland occupation tax: 1) In counties (the same blow), for areas with farmland per capita of 1 mu or less, the occupation tax shall be 2-10 yuan per square meter; 2) For areas with farmland per capita of 1-2 mu (including 2 mu), the occupation tax shall be 1.6-8 yuan per square meter;

3) For areas with farmland per capita of 2-3 mu (including 3 mu), the occupation tax shall be 1.3-6.5 yuan per square meter; 4) For areas with farmland per capita of over 3 mu, the occupation tax shall be 1-5 yuan per square meter. Article 9 The farmland occupation tax is levied by financial organs. Land administrative departments shall inform timely all financial organs at the same level after approval of farmland occupation by organizations and individuals. Those with approval of farmland acquisition or occupation shall apply for tax paying to financial organs with approval documents from land administrative departments at or above the county level. Land administrative departments shall allocate land as per tax paying receipts or acquisition approval documents. 4.3.3 Regulations concerning Decision of the State Council on Deepening Reformation and Strengthening Land Administration (GF [2004] No. 28) (12) To perfect compensation methods for land acquisition. Local people’s governments at and above the county level shall take effective measures, so as not to deteriorate the living levels of farmers with land occupied due to land acquisition. Land compensations, resettlement subsidies and compensations for ground attachments and young crops shall be paid fully and timely. Land compensations and resettlement subsidies shall be paid as per existing laws and regulations; in case of failure to maintain their original living standards of farmers with land occupied, and failure to pay social insurances for landless farmers owing to land acquisition, people’s governments of provinces, autonomous regions and municipalities shall approve additional resettlement subsidies. On the condition that land compensations and resettlement subsidies total to reach the regulatory caps but fail to maintain the farmers with land occupied their previous living standards, local people’s governments may grant subsidies from paid utilization revenues of the state-owned land. People’s governments of provinces, autonomous regions and municipalities shall specify and announce unified standards of annual output values or regional land prices in all cities and counties, and compensations for land acquisition shall be identical for the same land. For national key construction projects, full compensations for land acquisition must be incorporated in the estimates. Compensation standards and resettlement methods of land acquisition for large and medium-sized water conservation, hydropower projects shall prescribed by the State Council. (13) Appropriate resettlement of farmers with land occupied. Local people’s governments at and above the county level shall formulate specific methods to ensure long-term living allowances of the farmers with land occupied. For projects with stable benefits, farmers can buy shares by rights of use of land for construction. In urban planning areas, local people’s governments shall incorporate the landless farmers due to land acquisition in urban employment systems of sub-district offices, and establish social insurance systems; beyond urban planning areas, for land collectively owned by the farmers with land occupied, local people’s governments shall retain necessary farmland within their administrative regions or offer appropriate jobs for farmers with land occupied; landless farmers with basic production and living conditions unavailable shall be resettled in other places. Labour and social security departments shall, together with departments concerned, put forward guidelines to establish

employment training and social security systems for the farmers with land occupied as soon as possible. (14) To improve the land acquisition procedures. In land acquisition, rights and interests of the ownership of land owned collectively by farmers and rights of operation of land contracted by farmers shall be safeguarded. Prior to legitimate approval of land acquisition, farmers with land occupied shall be informed of purposes, locations, compensation standards and resettlement methods for land to be occupied. Survey results of status quo of land to be occupied must be validated by rural collective economic organizations and peasant households with their land to be occupied; as considered necessary, land and resource departments shall organize hearings as required. Materials to be known and validated by farmers with land occupied shall be considered as necessary ones for approval of land acquisition. Coordination and arbitration mechanisms shall be established and improved to settle disputes over compensation and resettlement for land acquisition at an accelerated speed, and legitimate rights and interests of farmers with land occupied and land users shall be safeguarded. Approved issues concerning land acquisition shall be publicized unless otherwise specified under special circumstances. (15) To enhance monitoring to the implementation of land acquisition. In case of failure to exercise the compensation and resettlement for land acquisition, such land can not be used compulsorily. People’s governments of provinces, autonomous regions and municipalities shall lay down allocation methods of land compensations within the rural collective economic organizations as per principles of land compensations mainly for peasant households with land occupied. Rural collective economic organizations with land occupied shall make explicit the revenues and expenditures and allocations of land compensations to members of the collective economic organizations, and be subject to their supervision. Agriculture, civil administration and other sectors shall also strengthen the supervision to the allocation and use of compensations for land acquisition within the rural collective economic organizations. 4.3.4 Regulations in World Bank OP4.12 4.3.4.1 Policy objective Objectives of World Bank resettlement policies are to ensure that the resettlers affected can benefit from the Project. Involuntary resettlement, an integral part of the engineering design, shall be combined with the following policies to begin with the initial stage of preparation (Paragraph 28): 1) Involuntary resettlement shall be avoided or minimized as feasible as possible. Feasible alternatives shall be taken into account, such as re-routing and lowering of dam heights, so as to greatly decrease the resettlers. 2) The Resettlement Plan must be prepared when it is inevitable to resettle the population. All involuntary resettlement shall be conceived and implemented as the development project to provide the resettlers with sufficient funds and opportunities to benefit from the Project. The resettlers must: (1) Obtain all replacement costs to compensate their loss before the actual relocation; (2) Be helped in the relocation and during transition period in the resettlement

area; (3) Be supported to improve or at least restore their previous living standards, income capabilities and production levels. Special attention shall be paid to demands of the poorest persons among the resettlers. 3) Public participation shall be encouraged in the resettlement planning and implementation. Appropriate social organizations shall be established to support and operate social and cultural organizations existing in original residents within the resettlement area to maximum degree. 4) The resettlers shall be in harmony with residents in the resettlement area socially and economically, so as to minimize adverse impacts on local residents. The best way to achieve such a harmonious atmosphere is to relocate the resettlers in beneficiary areas from the Project and negotiate with local residents in the resettlement area in advance. 5) Land, houses, infrastructures and other compensations shall be available to the population adversely affected by the Project, indigenous residents and herdsmen from minority nationalities. These groups are entitled with shared or traditional access rights to farmland or other resources occupied by the Project. The groups above shall be compensated even if they have no legitimate ownership of land. 4.3.4.2 Resettlement plan When the large-scale population migration is inevitable, detailed and specific resettlement plans, implementation schedules and budgets shall be prepared. The resettlement plans shall be developed in accordance with the development strategies and general plans to improve or at least restore previous economic conditions of the resettlers. Experience has proven that, in general, simple cash compensations are not enough. One of the contents in the resettlement plans is to lay down measures to settle the problems of involuntary resettlement in specific circumstances so as to achieve voluntary relocation. The resettled agricultural population shall first enjoy the land- based resettlement strategies. In case of failure to provide appropriate land, they shall be offered employment or self-employed opportunities and other non-land resettlement strategies. 4.3.4.3 Social participation and involvement with original residents in the resettlement area 1) Most of resettlers are willing to relocate together with their former collectives, neighbours or kin groups. Efforts shall be made to population migration in groups to reduce decentralization, maintain existing groups and organizations, and preserve cultural properties (such as temples and pilgrimage centers, to be moved if required), which are to raise the acceptability of the resettlement plans, and mitigate adverse impacts of resettlement. 2) Prior to relocation, it is critical to involve involuntary resettlers and residents in the resettlement areas in the resettlement plans. It is predictable to encounter resentment on involuntary resettlement from the beginning. To get cooperation, participation and feedback opinions of original residents in the resettlement areas and the resettlers, the resettlement plans shall be prepared to systematically explain their entitlements and selectable options and make a negotiation

therewith. In this way, they can make their choices from a couple of acceptable resettlement plans, which can be determined by direct negotiations or by formal and informal leaders and representatives. Experience has proven that local non- government organizations are often able to provide strong supports and ensure the participation of valid collectives. In addition, institutional arrangements can be made, such as routine meetings to be attended by officials of the projects and local communities, so as to make resettlers and original residents in the resettlement areas express their opinions on resettlement in the whole planning and implementation period. Special attention must be paid to opinions of indigenous residents, minority nationalities, landless persons and women and other vulnerable groups. 3) Plans shall be developed to minimize the impacts of resettlers on original residents in the resettlement areas. The residents in the resettlement areas and local governments shall be informed and negotiated fully. Land or other properties shall be provided timely to the resettlers in the resettlement areas. When the resettlers are demanding in land, water supply, forest land and social services, etc., or social services and housing facilities available to the resettlers have exceeded levels of original residents in the resettlement areas, contradictions between the original residents and the resettlers may be aggravated. Therefore, living conditions and social services of original residents in the resettlement areas shall be further improved, and at least not deteriorated. The two groups shall be provided with perfect education, water supply, sanitation and production services, thereby creating a better social atmosphere for their harmony. In the long run, investment is helpful to the avoidance of conflicts and the realization of project objectives. 4) Successful resettlement requirements can transfer the resettlement responsibilities to the resettlers themselves timely. Otherwise, the dependence of the resettlers to the resettlement agencies will be raised, and then the manpower and funds of resettlement agencies may be troubled in a couple of limited continuous supervision. Thus, local lead agencies must be encouraged to assume the responsibilities of environmental management and infrastructure maintenance. 4.3.4.4 Socioeconomic survey The Resettlement Plan shall be based upon data regarding the latest resettlement scales and impacts on the resettlers. Besides resettled households in the survey standards, the socioeconomic survey must cover: 1) Relocation scales; 2) All income conditions of the affected population, including those from informal sectors and non-agricultural activities as well as from general property; 3) All or part of property loss of the resettled groups; 4) Public infrastructures and social services to be affected 5) Official and unofficial organs (such as groups and religious organizations) to assist the preparation and implementation of the Resettlement Plan; 6) Attitudes towards the Resettlement Plan; Mianyang Science and Technology City Development and World Bank Financed Projects 41 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

The socioeconomic survey for registering names of members from affected households shall be conducted as early as possible to prevent the compensation to the unqualified population. 4.3.4.5 Selection and determination of resettlement areas A few of possible resettlement areas and selectable resettlement scopes shall be identified, which is critical to the rural and urban (from sub-district offices) resettlement. Land-based resettlement shall keep the production potentials and regional advantages of new resettlement sites at least equal to those of original residential areas. Since World Bank encourages the “land-for-land” method, the land provided shall be at least equivalent to that lost. For rural resettlers, irrigation, land reclamation, tree planting, intensive production and other new ways can usually provide sufficient production potentials for agricultural population resettled on limited land and even in densely-populated countries. To select the resettlement areas, attention must be paid to the feasibility of non-agricultural incomes (from fishery, forestry products acquired, wages paid during seasonal employment) to increase the agricultural incomes. For urban resettlers from sub-district offices, new residential areas shall be provided with employment opportunities, infrastructures, social services and production opportunities equivalent to their original ones. For rural and urban resettlement (from sub-district offices), the debtors shall: 1) Make organizational and technical arrangements to identify and prepare the resettlement areas, including centralization of small lots, wasteland reclamation, land levelling and terrace development; 2) Work out schedules and budgets for the preparation of resettlement areas and the relocation; 3) Make an arrangement, i.e. legal transfer of property rights to the resettlers; 4) When necessary, freeze temporarily the real estate transactions within the resettlement area to avoid land speculation. In general, World Bank never grants land acquisition loans, but provide funds to the resettlers for the development of land. 4.3.4.6 Assessment of and compensation to property loss 1) Property lost shall be valued at replacement prices. Compensations shall be made by: (1) Paying special attention to complete legal basis of land property rights, registration and locations; (2) Announcing valuation and compensation laws and regulations among the resettlers; (3) Identifying a standard to make a decision whether affected households are qualified for resettlement requirements, for instance, some households have lost a part of their property, but failed to maintain their previous economic living levels, and in this case, they shall be treated as the resettlers; (4) Registering the number and names of the affected population entitled to be compensated or to be assisted as early as possible to prevent illegitimate

property deforciants and squatters and non-residents from benefiting from compensations for the resettlers. 2) Some kinds of loss can not be assessed or compensated simply by money, for example: (1) Public and social services lost; (2) Customers and suppliers lost; (3) Loss of opportunities to undertake fishery, animal husbandry and forestry. Therefore, another way must be opened up to enable the resettlers to obtain equivalent and acceptable (in their cultural background) resources and money- making opportunities. 3) Vulnerable groups taking more risks include indigenous residents, persons with their land lost fully or partly and female-dominant households. Even though they have relocated, these groups may fail to be protected by national land compensation regulations. Thus, the Resettlement Plan must include land allocation and other acceptable (in their cultural background) money-making methods to provide them with living allowances. 4.3.4.7 Housing, infrastructure and social service To ensure economic and social survivability of the resettlers, houses, infrastructures (including water supply systems, roads) and social service facilities (such as schools, health care centers) shall be provided with adequate materials and funds. Site preparation, engineering and architectural design shall be available to houses, infrastructures and social service facilities. As houses built by the resettler collectives or individuals are easier to be accepted by the resettlers than those by contractors and more adaptable to their needs, one of alternative options is to provide the resettlers with construction sites, furnished with appropriate infrastructures, planning models, building materials, technical aids and “construction subsidies” (i.e. incomes of resettlers during house construction). Houses, infrastructures and social service facilities shall be planned, taking into account natural growth factors of the population. 4.3.4.8 Implementation progress, monitoring and assessment 1) The resettlement progress shall be coordinated with the implementation schedules of main investment projects. All resettlement plans shall be attached with an implementation schedule of all activities, including initial survey and preparation, actual relocation and socioeconomic activities after relocation. In the plans, dates to realize targets shall be scheduled in terms of expected benefits received by the resettlers and residents in the resettlement area. 2) The debtors shall carry out the resettlement monitoring and assessment* in the preparation, and monitor the resettlement during the project supervision. The monitoring can not only provide a prewarning system to Project Manager, but also provide the resettlers with a channel to express their demands and opinions on resettlement. Monitoring and assessment agencies shall be provided with adequate funds and manned with sufficient resettlement professionals. Internal monitoring to the execution organization of the Project shall be supplemented by

independent monitoring departments to ensure complete and objective information and data available. Large resettlement projects are expected to be subject to annual and mid-term inspections. The debtors shall continue the assessment of impacts within a reasonable period of time after the full completion of resettlement and appropriate development activities, and submit the results to World Bank. 4.3.4.9 Preparation Feasibility study of the resettlement plans must be made in the preparation of the Project to agree on resettlement strategies, draw up resettlement plans and make project budgets ***. Regardless of fund sources, all expenses of resettlement shall be included and incorporated in the general cost estimates of main investment projects. Resettlement expenses shall be taken as costs with respect to economic benefits in the investment project giving rise to resettlement. Net resettlement benefits (in comparison with those “without the Project”) shall be added in the benefits of main investment projects. Economic feasibility is not required to resettlement subprojects or independent resettlement projects, but shall be a minimum cost solution to be consistent with all policies above. 4.3.4.10 Implementation and supervision In the implementation, resettlement shall be supervised. Occasional supervision or that performed at the later phase of resettlement implementation will, undoubtedly, have an adverse influence on the success of resettlement. The supervision of World Bank shall be conducted by necessary social, economic and technical experts. It is required to carry out annual inspection to large-scale resettlement and mid-term project inspection with a certain depth organized by World Bank. These inspections shall be arranged from the beginning, such that World Bank and debtors can make necessary adjustments in the implementation of the Project. It is a long process to complete the resettlement, which makes World Bank often schedule the supervision after the resettlement of all relocated population necessarily or even after the completion of the entire Project occasionally.

Chapter 5 Compensation Standard and Compensation Budget 5.1 Compensation standard 5.1.1 Compensation standards for land acquisition 5.1.1.1 Compensation standards for permanent land acquisition Land compensation and resettlement subsidies are determined through calculation according to related regulations of Sichuan Province on implementing the Land Administration Law of the People’s Republic of China and Tentative Method for the Compensation and Resettlement for Collectively-owned Land Unitedly Requisitioned of Mianyang City ([2003] No. 12). According to 2008 Annual Statistical Report on Agriculture of Mianyang City and market purchasing prices of main agricultural products, it is determined that average output value per mu in the past three years of paddy fields is 1,833 yuan/mu, that of vegetable plots is 2,200 yuan/mu and that of dry land is 1,080 yuan/mu. However, land acquisition compensation for the Project will be made in the form of life-long living expenses granted to the affected persons. After the land acquisition, all affected peasants will be provided with the rural-to- urban resettlement and monthly living expenses of 55-116 yuan per person. It is estimated based on age structure that compensation standard for acquisition of every one mu cultivated land will reach 40,000 yuan and each affected person will finally get compensation amounting to 35,000 yuan. This standard is more than 20 times of the average output value per mu. Compensation standards for the acquisition of forest land, garden plot, house site and other types of land are 2,000 yuan/mu, 30,000 yuan/mu, 30,000 yuan/mu and 1,000 yuan/mu respectively. 5.1.1.2 Compensation standard for temporary land acquisition A certain amount of land will be borrowed for temporary use in construction for stacking engineering materials and building work sheds or as construction impact areas. Land for temporary use may be borrowed in infrastructure projects only for 1 year generally, where temporary land use cost shall be paid to the land owner or user (i.e. a collective or an individual). If the land for temporary use is cultivated land, compensation will be made annually according to loss of agricultural output value. After the completion of all works, the original farming conditions shall be recovered and the land shall be returned to the land owner, or corresponding compensation shall be paid to him. Compensation for temporary land acquisition shall be depending on land type and time and through negotiation with the Construction Party and local government. The design department estimates that the comprehensive unit price is 2,000 yuan/mu. 5.1.1.3 Compensation standards for crops Compensation for crops is calculated based on output value per mu of cultivated land. See Table 5-1 for details. Table 5-1 Compensation standards for crops for the Science & Education Pioneer Park Project Compensation standard Description Remarks (yuan/mu) Paddy field 1,833 Dry land 1,080

Vegetable plot 2,200 Data source: field survey and documents 5.1.2 Compensation standards for house demolition and the attachments 5.1.2.1 Compensation standards for house demolition Compensation for houses and ancillary facilities will be in accordance with Notice of Mianyang Municipal People’s Government on Printing and Issuing Compensation Standard for Ground Attachment and Young Crops on Land Acquisitioned (MFH [2008] No. 105). Compensation unit price for all kinds of houses and ancillary buildings of DPs are shown in detail in Table 5-2. In addition, costs of house site grading and access of electricity, broadcast and television, tap water, roads and other infrastructure will be borne by the resettlement department. Subsidies to households in the Science & Education Pioneer Park for house building total 27,649 yuan/household. Details are as follows: 1) Landscaping cost: 1,432 yuan/household; 2) Infrastructure: 13,986 yuan/household; 3) Supporting facility subsidies: 4,338 yuan/household (1,500 for water, 1,838 for electricity, 1,000 for gas, etc.); 4) Collective interest subsidies: 2,475 yuan/household (office, 1 m2 public welfare shop per household, 0.03 mu reserve land, 150 yuan/person for developing collective economy, etc.); 5) Outer wall decoration subsidies: 5,418 yuan/household. Relocation compensation includes relocation transportation cost, material loss compensation and work delay allowance. As people affected by land acquisition for the Project are resettled in the original areas, relocation distance of most DPs is within 1,000 m. In principle, houses shall be demolished before rebuilt. If transition is needed due to the works, 50 yuan of transitional allowance will be granted to each person monthly, lasting no more than 12 months generally. Relocation compensation, which is counted as the relocation transportation costs, totals 200 yuan/household. Table 5-2 Compensation standards for house demolition for the Science & Education Pioneer Park Project Compensation standard S/N House structure Unit of measurement (yuan) Brick-concrete buildings with three and 1 m2 450-500 more storeys Brick-concrete buildings with two and 2 m2 420-470 less storeys Brick-concrete cottage with two and 3 m2 400-450 less storeys 4 Brick-wood house with two storeys m2 390-440 5 Brick-tile cottage m2 370-420 6 Wood structure cottage m2 330-380 7 Tile-roofed house with mud wall m2 290-340 8 Thatched cottage with brick wall m2 280-330 9 Thatched cottage with mud wall m2 260-310

10 Asbestos tile and felt houses m2 250-300 11 Brick greenhouse m2 10-15 Data source: (MFH [2008] No. 105) Table 5-3 Compensation standards for ground attachments for Science & Education Pioneer Park Project Compensation Unit of S/N Description standard (yuan) measurement Vegetable Bamboo frame shed m2 2 1 Shed shed Steel frame shed m2 6 Other sheds m2 30 2 lime kiln, brick and tile kiln m3 60 3 Pool (fixed) m3 35 4 Veneered pool (fixed) m3 50 5 Methane Tank generating methane Nr. 600 tank Tank not generating methane Nr. 300 6 Brick manure pit m3 12 7 Mortared manure pit m3 10 Cement threshing ground (including brick and stone 8 m2 18 threshing ground) Threshing ground by the mixture of clay, lime and 9 m2 12 sand 10 Brick enclosing wall m2 12 11 Earth-stone enclosing wall m2 8 12 Water jar Nr. 50 13 Pigsty Nr. 180 One door for one 120 14 hearth Hearth with chimney Two and more 150 doors for one hearth One door for one 100 hearth 15 Hearth without chimney Two and more 120 doors for one hearth 16 Hand pumped well Nr. 200 17 Machine pumped well Nr. 300 18 Stone well Nr. 500 Washing table (including cement board and other 19 Nr. 30 counters) 20 Wall cupboard Nr. 35 21 Granary m3 20 22 Sweet potato pit Nr. 60 23 Brick-stone structure tomb Nr. 300 24 Flat tomb Nr. 200 25 Mortared fish pond m3 8 Brick-stone fish pond partially built with cement or 26 7 mixture of lime, clay, and sand m3 (including that built with human head stone) 27 Earth fish pond m3 3 28 Water tower m2 350 29 Brick flower bed m2 30 30 Fort m3 20 Mianyang Science and Technology City Development and World Bank Financed Projects 47 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

31 Ceramic tile m2 11 32 Floor tile m2 25 33 Concrete pole Nr. 60 34 Wood pole Nr. 30 35 Small reservoir m3 1.2 36 Water pipe m 6 37 Drought-resistant well Nr. 5000 Compensate properly after 38 Fine decoration of house m2 depreciation based on the serviced time Data source: (MFH [2008] No. 105) 5.1.2.3 Compensation standards for sparsely scattered trees Compensation standards for sparsely scattered trees that will be affected by the Science & Education Pioneer Park Project are shown in Table 5-4.

Table 5-4 Compensation standards for sparsely scattered trees for the Science & Education Pioneer Park Project Unit of Compensation S/N Species Category Specification measurement standard (yuan) 1 Economic No more than 1 m Nr. 2.5 Seedling trees above ground level Mu 900 Apple, More than 1 m Nr. 6 pear, Young tree above ground Mu 1500 peach, level, without fruit plum, Small-sized Initial yielding Nr. 20 apricot, tree period Mu 3000 cherry, Medium-sized Medium yielding Nr. 60 orange, tree period etc. Mu 4000 Large-sized Peak yielding Nr. 100 tree period Mu 6000 Diameter at breast Nr. 1.5 Fruit Seedling height less than 1 Mu 1500 tree cm Initial yielding Nr. 20 period (diameter at breast height being Mu 3000 1 – 2 cm) Grape Medium yielding Nr. 40 Trees with period (diameter at fruits breast height being Mu 4000 2 – 5 cm) Peaking yielding Nr. 60 period (diameter at breast height Mu 6000 above 5 cm) No more than 1 m Nr. 1.2 Seedling above ground level Mu 1200 Nr. 2 Initial yielding Mu 1700 Mulberry Mulberry Nr. 3 with mulberry Medium yielding Mu 2200 leaves Nr. 5 Peak yielding Mu 3500 Unspecified Sparsely Young tree with trees like pine, scattered trees trunk diameter at Nr. 1 cedar, cypress breast height and toona below 2 cm sinensis Small-sized tree with trunk diameter at breast Nr. 5 height being 2 – 5 cm Medium-sized tree with trunk diameter at breast Nr. 20 height being 6 – 15 cm Large-sized tree Nr. 40 Mianyang Science and Technology City Development and World Bank Financed Projects 49 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

with trunk diameter at breast height above 16 cm 500 for natural Immature forest forest and 1000 Mu above 350 m2 for planted Forest of vast forest area 800 for natural Mature forest forest and 1600 Mu above 350 m2 for planted forest Young tree being 0.5 – 1 m above Nr. 1 ground level Small-sized tree being more than 1 m above ground Nr. 3 level, with trunk diameter at breast height below 5 cm Medium-sized tree being more than 2 Sparsely m above ground scattered trees level, with trunk Nr. 20 diameter at breast Other height being 5 - 16 unspecified 2 cm trees Large-sized tree being more than 3 m above ground level, with trunk Nr. 30 diameter at breast height above 16 cm 300 for natural Immature forest forest and 450 Mu above 350 m2 for planted Forest of vast forest area 500 for natural Mature forest forest and 750 Mu above 350 m2 for planted forest Priced as per the 3 Bamboo Kg 0.4 mass Woody flowers and Scattered planting Nr. 1-30 plants 4 Flowers and plants Flowers and Planting in vast 2000- plants of vast area larger than 15 Mu 5000 area m2 Data source: (MFH [2008] No. 105)

5.1.3 Compensation standards for infrastructure and special facilities The Project will affect partially utilities and other infrastructure. The Employer will require in the project construction contract that the Contractor shall establish temporary facilities for protection during construction and restore facilities damaged due to the construction. As restoration costs are included in the project construction contract, no compensation standard for infrastructure and special facilities is fixed for the Project. 5.2 Estimate of dislocation compensation Dislocation compensation mainly includes the following:  Compensation for resettlement (including compensation for land acquisition, for crops and sparsely scattered trees and for houses and the attachments, transitional allowance and relocation costs for relocation households, costs for unified resettlement for rural house demolition, house demolition costs for residents in Sub-district Offices, shop compensation and compensation for economic loss, etc.);  Infrastructure restoration costs: included in project costs and excluded from total resettlement costs;  Temporary land use cost;  Other costs:  Technical training cost The cost will be used mainly for vocational training, etc. for villagers from the affected villages, which will be estimated according to the contents and time of the training as well as the number of trainees.  Implementation management cost The cost will be counted at 0.5% of the sum of compensation for relocation and temporary land use cost, which will be used mainly as management costs of resettlement agency for purchasing houses and equipment, paying wages, office works, traveling, etc.  Cost of Resettlement Plan preparation and resettlement monitoring & assessment The cost will be counted at 0.5% of the sum of compensation for relocation and temporary land use cost, which will be used for Resettlement Plan preparation and for monitoring and assessment by external monitoring & assessment organization during the implementation of resettlement.  Land acquisition management cost The cost will be counted at 0.2% of the sum of compensation for relocation and temporary land use cost, which will be used as costs needed by land acquisition department during land acquisition.  Contingencies

The cost will be counted at 5% of the sum of compensation for relocation and temporary land use cost, which will be used by the resettlement agency for solving unforeseen problems, so as to resettle the dislocated persons in a better way. Total estimate of the investment to compensation for land acquisition, house demolition and resettlement for the Project is 19,976,096 yuan, in which: compensation for relocation is 16,377,296 yuan, taking up 81.98% of the total investment; contingency is 824,000 yuan, taking up 4.12% of the total investment; other costs total 324,800 yuan, taking up 1.63% of the total investment; temporary land use cost totals 100,000 yuan, taking up 0.50% of the total investment. Infrastructure restoration cost is budgeted to be 1 million yuan (included in project costs and excluded from the total resettlement costs). See details in Table 5-5 and 5-6. Table 5-5 Estimate of investment to compensation for land acquisition, house demolition and resettlement for the Science & Education Pioneer Park Project (summary) Total (10,000 S/N Item Ratio (%) yuan) I Compensation for relocation 1637.7296 81.98 (I) Land acquisition cost 538 26.93 (II) Crops and trees 10 0.50 (III) Compensation for house demolition and the attachments 1089.7296 54.55 II Temporary land use cost 10 0.50 III Other costs 32.48 1.63 IV Resettlement site allowance 235 11.76 V Contingencies 82.4 4.12 Total 1997.6096 100 Data source: government documents and field survey

Table 5-6 Estimate of investment to compensation for land acquisition, house demolition and resettlement for the Science & Education Pioneer Park Project (detailed) Compensat Amount ion S/N Item Quantities Unit (10,000 standard yuan) (yuan) A Compensation for relocation 1637.7296 (A) Land acquisition cost 538 Cultivated land (calculated by the living expenses granted to the 1 127 Person 35000 444.5 resettled population, taking the mean value) 2 Garden plot 4 Mu 30000 12 3 Forest land 20 Mu 2000 4 4 House site 25.5 Mu 30000 76.5 5 Other land 10 Mu 1000 1 (B) Crops and trees 10 Compensation for house (C) 1089.7296 demolition Compensation for rural house 1 1075.6296 demolition and the attachments 1.1 House compensation 1053.2496 1.1.1 Brick-concrete structure 21110.03 M2 450 949.9514 1.1.2 Brick-wood structure 2032.995 M2 370 75.2208 1.1.3 Earth-wood structure 670.28 M2 290 19.4381 1.1.4 Simple structure 332.28 M2 260 8.6393 Compensation for rural 1.2 320 M2 300 9.6 commercial shop 1.3 Compensation for attachments 0 Transitional allowance for rural 1.4 178 Person 600 10.68 house demolition Relocation allowance for rural 1.5 85 Household 200 1.7 house demolition Compensation for economic loss 1.6 4 Nr. 1000 0.4 of rural commercial shops Compensation for enterprise 2 14.1 relocation 2.1 House demolition 370 M2 300 11.1 Compensation for economic loss 2.2 of business suspension of 3 Nr. 5000 1.5 enterprises 2.3 Enterprise relocation costs 3 Nr. 5000 1.5 B Temporary land use cost 50 Mu 2000 10 C Other costs 32.48 1.1 Technical training cost 127 Person 1000 12.7 Implementation management 1.2 8.24 cost Cost of Resettlement Plan 1.3 preparation, monitoring and 8.24 assessment 1.4 Land acquisition management 3.3

cost D Resettlement site allowance 85 Household 27649 235 E Contingencies 82.4 Total 1997.6096 Data source: Government documents and field survey Note: house demolition standard shall be as per the median for this type of houses.

Chapter 6 Resettlement and Production and Livelihood Development Implementation of the Resettlement Plan for the Science & Education Pioneer Park Project is in the charge of local government, with the support of Sichuan Urban Environmental Protection Project Office and technical support of the design institute and the Southwest Jiaotong University. Based on the extensive survey of impacts to dislocated persons, a suitable plan for production, livelihood and villager development that is conformable to national laws and resettlement policies of the World Bank is discussed. The Science & Education Pioneer Park Project affects one community of one sub- district. Land for permanent acquisition for the Project totals 153.5 mu, in which the cultivated land takes up 61.24% of the total amount. The Design Party estimates that about 50 mu land shall be borrowed for temporary use. House demolition, which is carried out in rural areas only, amounts to 24,145.585m2 in area. 178 persons from 85 households are affected by rural house demolition which includes commercial shops and small enterprises. 178 persons from 85 households are affected by rural common house demolition which also affects 4 commercial shops with 5 persons and 3 enterprises with 10 persons. 6.1 General principles General objective of the Resettlement Plan for the Project is to provide suitable measures for developing production, livelihood and families, so as to ensure that the living standard will be recovered to a level at least not lower than that before the Project is implemented. Overall principle of the Resettlement Plan for the Project is resettling the families affected by land acquisition in the original community, in which the resettlement method of combining land resettlement and granting living expenses shall be promoted respecting and caring for local DPs’ habits in production and living and in full consideration of DPs' wills, so as to enable the affected villagers to have stable agricultural and non-agricultural incomes and to achieve the ultimate aim of recovering and improving their living standard and further maintaining the sustainable development in the affected resettlement area. Special principles for the Resettlement Plan are as follows:  Resettlement planning shall be implemented with material indexes of land acquisition and house demolition as the foundation and compensation and subsidy standards for land acquisition and house demolition as the basis.  Resettlement shall be combined with regional construction, resource development, economic development and environmental protection. Feasible measures for recovering and developing DPs’ living and production shall be prepared and necessary conditions for self-development of DPs shall be created in a practical way and according to local conditions.  Planning and layout shall be made following the principle of “beneficial to production and convenient for life”. In principle, all buildings (including residences) planned to be demolished shall be resettled in a unified way

according to planning of the Sub-district Office, where houses shall be built by DPs themselves.  Scale and standard of relocation and construction works shall follow the principle of not lowering the housing conditions. Local government and related departments shall deal with the investment needed in combining regional development, expanding scale, raising standard and perspective planning. During the relocation process, governments of community and township Sub-district Offices and related departments in the district will pay attention to peasant households.  Everything shall be taken into consideration, overall plans shall be made and relationship among the state, collective and individual shall be handled properly.  The method of combining compensation, subsidy and production support shall be adopted and natural resources shall be taken full advantage of, through which the production and living standards of the DPs will gradually reach or exceed the original level.  Female headed families shall enjoy the same opportunity and right in housing resettlement as male headed families. It is a violation of laws when female headed families are discriminated by reducing the floor space or depriving women's rights. There shall be resources (funds and labor) to ensure the female headed families are satisfied with house demolition and provided with proper new houses. 6.2 Specific measures for resettlement 6.2.1 Resettlement measures for land acquisition Main resettlement measures adopted after land acquisition for the Science & Education Pioneer Park are as follows: 1) In order to guarantee that the sustainability of the basic life of land-lost DPs are not affected, for the Science & Education Pioneer Park Project, the compensation method of granting subsistence allowance which is 116 yuan/month for each person older than 16 and 55 yuan/month for each person younger than 16 has been adopted. The granting of subsistence allowance will last till the end of one’s life whether he/she has a job or has other income sources. Measures ensuring that DPs will receive the life-long subsistence allowance timely and in full amount are: (1) The subsistence allowance, which is included in the financial budget of government, will be paid directly from financial funds. (2) Individual accounts are established, so the bank can appropriate money into DPs’ personal accounts directly, without any intermediate procedures. (3) The government and each village group sign a legally valid “Notarial Certificate” which provides legal protection for the subsistence allowance received monthly by DPs.

(4) Mianyang Municipal Government issues documents which define the right of land-lost DPs to receive subsistence allowance monthly at full amount in the form of policy and regulation. (5) If changes have taken place in the existing administrative agency, or the Science & Education Pioneer Park has no ability to pay the money, Mianyang Municipal Government will directly assume the responsibility for granting subsistence allowance to the land-lost DPs, or other agencies in charge will continue to pay the allowance. (6) Many enterprises and companies have entered and been stationed in the development zone, bringing great economic vitality to the Science & Education Pioneer Park and making the financial revenue of the development zone increase year by year, which ensures fundamentally the source of subsistence allowance to land-lost DPs. (7) The Municipal Government signs with the affected village groups a Land Compensation Agreement, which ensures the stability in the granting of the life-long subsistence allowance. In case of inflation, the monthly subsistence allowance will be adjusted and raised correspondingly at the inflation factor every two years, so as to maintain the actual value of subsistence allowance. (8) The standard for subsistence allowance is subject to a dynamic process, thus there is a possibility of continuous raise with the increase of national revenue in the future. 2) It is aimed to enable more people to find relatively regular jobs besides the 116 yuan monthly subsistence allowance with the “Training Base for Re-employment of Mianyang”, free vocational trainings provided by citizen schools to rural-to- urban personnel and free recommendation of jobs, and through the employment channels in and out of the province found by governments of Mianyang City and the Science & Education Pioneer Park. Many enterprises have been moved into the zone, with more to come in the future. As long as the affected persons are willing to be employed, the number of jobs to be provided will certainly be far more than that of affected persons. 3) DPs are encouraged to start their own businesses, thus trainings on computer, cooking, cleaning, housekeeping, electrotechnology, etc. have been provided for more people for free. The government provides three years of tax preference to support their engagement in the secondary and tertiary industries. Households have shops at the ground floor of their buildings, which can be operated by themselves or be leased to others. 4) On the free house site provided by the government to each household, a house of 200-300 m2 can be built, in which nearly half may be leased, bringing an income of couple of thousand yuan annually when calculated at 2 yuan/month/m2. 5) During project construction, more job opportunities for simple labor force as well as the opportunity to sold sand, stones and daily necessities will be provided, making land-lost DPs directly benefited from the Project. 6) For land-lost peasants who are really unable to find jobs, they can enjoy the minimum living standard security of Mianyang City with a relief fund amounting

to 173 yuan/month. However, before they become urban residents, they are not qualified for the minimum living standard security of the City. 7) At the same time, land-lost DPs may be covered under social insurance, unemployment insurance and medical insurance of their own accord, the premium of which is raised as per the principle of joint burden by the state, collective and individual (the state takes the maximum proportion and the collective and individual take medium and minimum proportions respectively). The above resettlement schemes and measures with multiple combinations and various choices can ensure that the land-lost DPs will integrate in city life in a short time. The DPs can choose their desired employment patterns according to their own characteristics and hobbies, ultimately achieving the objective of raising family income and improving the quality of life. 6.2.2 Resettlement measures for house demolition Main resettlement measures for house demolition for the Science & Education Pioneer Park are as follows: 1) The government implements the unified planning of new residential areas and provide free water, electricity, roads, gas, foundation, telephone & television lines, ceramic tiles for outer wall decoration, etc. 2) The government provides free house site that is not smaller than 25 m2 per capita as well as house demolition compensation, and allows the relocation households to build buildings with 2-4 storeys which they own entire property. Before peasants became urban residents, their houses didn't have entire property, thus could not be traded in the market. Now, their houses can be traded as urban commercial houses, which will bring an increase of more than 100,000 yuan to the house of each peasant household. 3) Shop fronts are built at the ground floor, which can be used for business by the households or be leased to others for operation. 4) Prices of water, electricity, gas, traffic and other public products in the city are lower than those in the country, thus the DPs’ life becomes easier rather than harder. 5) If the economic conditions of relocation households are limited, the government allows them to build a two-storey house and then build the house into 4 storeys according to the unified standard when conditions permit in the future. 6.2.3 Resettlement measures for commercial shops Shops affected are basically in the nature of “residence with non-residence”. That is to say, houses at the back are for dwelling and shop fronts are opened in the front for business. Some shops have not undergone industrial and commercial registration and tax registration, with meager income and even no profit at some times. A total of 4 small shops are affected by the Project. The ground floor of new houses is for shop fronts, where the people are concentrated, making the purchasing power raised greatly. Those willing to be engaged in shop business can make full use of the ground floor.

6.2.4 Enterprise resettlement measures The Project will affect 3 enterprises, say, 1 car wash and 2 non-staple food processing plants. Detailed resettlement measures are as follows:  The Employer will pay house demolition cost, compensation for economic loss of business suspension and relocation cost to the affected enterprises.  The affected enterprises will decide whether to resume production in the neighborhood according to their wills. 6.2.5 Resettlement measures for vulnerable groups: Vulnerable groups affected by the Project are classified into three categories: the first one is the traditional vulnerable groups, such as the households enjoying the five guarantees, the disabled, the single mother families; the second one is the peasant households depending largely on land, over 75% of whose family income is from agriculture; the third one is the population out of work after changing from peasants to rural residents, especially the families with both the husband and wife out of work. Specific and feasible resettlement measures are put forward in the following part: 1) For peasant households depending largely on cultivated land Measure 1: Land development for the Science & Education Pioneer Park will be completed in 5-10 years. It is possible to rent temporarily the land not to be developed for the time being to peasant households for cultivation. The period will serve as the transitional period and adaptation period that help them to integrate in urban life gradually. Measure 2: Arrangement may be made for peasant households to contract cultivated land in other agricultural parks, with their registered residence at the urban Sub-district Office and their urban houses kept. They may be engaged in agricultural production all the time depending on their wills. On the other hand, if they are willing to abandon the farming life, they can resume the urban life at any time. Measure 3: Peasant households are encouraged to contract waste mountain, waste sands and wasteland in the Science & Education Pioneer Park to carry on planting and breeding, with their permanent urban residence and urban houses kept. Measure 4: Peasants can go to agricultural industrialized enterprises to do works similar to their past works, such as working in landscaping companies; Measure 5: Survey has found that those totally depending on land are mainly people older than 60 who are not living with their children. In order to earn their own living, they continue to cultivate land, which is a difficult job beyond their reach, so as to get in return self sufficient grains and vegetables. This population has the strongest desire of changing from peasants to urban residents to receive the subsistence allowance amounting to 116 yuan/month/person. As a result, their income will be much more than before without the need to cultivate painstakingly, and they will no longer be anxious about asking their children for money.

The above measures can help families with strong dependence on land to find a suitable resettlement method. The resettlement method is dynamic with multiple combinations, which can be changed according to the wills of the affected persons. 2) For persons out of work after changing from peasants into urban residents Measure 1: Skill training to unemployed persons will be strengthened with great force, so as to help them master a practical technique. Then the persons will be recommended to work in enterprises in the park. The Science & Education Pioneer Park has prepared training plans for the future three years and the past training works have shown significant effects. Measure 2: Government of the Science & Education Pioneer Park is responsible for establishing a cooperative relationship with developed regions in Guangdong, Jiangsu and Zhejiang. The unemployed persons that have undergone trainings can be sent to work in the developed coastal regions depending on their wills. If they choose this pattern, besides earning high salaries, they can lease all or part of their houses in Mianyang, which will bring them more stable income. Measure 3: Public welfare establishments will be developed with great force, such as housekeeping, house cleaning, career service, vocational training, old-age care, childcare, medical station, etc., in which the unemployed persons will be placed, especially the families with both the husband and wife out of works; Measure 4: The unemployed persons will be resettled by providing them with trainings on cosmetology, hairdressing, F&B and entertainment, and they are encouraged to start their own businesses like opening distinctive rural home inns, barbershops, etc. Measure 5: During project construction, more unemployed persons, especially those whose husband/wife are also out of work, will be employed for simple physical works, making them benefited directly from the Project; Measure 6: Minimum living allowance of Mianyang City will be paid at 173 yuan/month/person. The above measures can ensure that the affected persons with land and job lost will find suitable jobs quickly. In addition, past experience of the Science & Education Pioneer Park in resettlement has demonstrated that the park has the ability to find corresponding jobs for “rural-to-urban” persons willing to go out for work (housewives in some rich families in the park are unwilling to go out for work). 3) For the old, weak, sick, disabled and single-mother families Measure 1: the measure for overcoming difficulties in life: poor families with annual income per capita lower than 1,920 yuan will be covered in urban minimum living standard security. Measure 2: the measure for overcoming difficulties in seeking medical treatment: doctor’s visit and registration are free of charge; treatment and hospitalization expenses are reduced by half; in case of a serious illness, there are special salvation measures for serious illnesses in the community.

Measure 3: the measure for overcoming difficulties in schooling: for students from families with the old, weak, sick and disabled, expenses of books and miscellaneous fees can be exempted, and living and boarding costs can be subsidized. For those who are most difficult, the labor, youth and women organizations with give special help. Measure 4: the measure for overcoming difficulties of households enjoying the five guarantees: before changing from peasants into urban residents, rural households enjoying the five guarantees were granted with subsistence allowance only amounting to 49 yuan/month; while after becoming urban residents, they enjoy subsistence allowance amounting to 116 yuan/month. With no other sources of income, they will enjoy the urban minimum living standard security amounting to 173 yuan/month additionally. Moreover, the government provides them with not only free grains, oil, clothing, bedclothes and other daily necessities but also treatment to diseases and monthly spending money, and the government handles funeral matters and builds new houses in a centralized way for them free of charge. Measure 5: apart from above preferential measures, the disabled will be charged no business management costs and business tax if they are engaged in individual industrial and commercial businesses. In addition, they can take bus, install television, and receive television programmes for free. Measure 6: for single-mother families, the community will organize labor to help them build new houses. For traditional vulnerable groups, the government has formed a set of complete and effective assistance system for them. With the urban minimum living standard security to be enjoyed after they have been changed from peasants into urban residents, it can be ensured that they will get proper care and help. 6.2.6 Relocation and construction planning for special facilities Competent authorities for special projects are responsible for putting forward the relocation and construction planning for 110KV, 10KV and 380/220V power lines, communication optical cables and electric cables affected by project construction and for the implementation of the planning. Underground communication optical cables will be recovered by setting underpasses for pipelines during the construction.

Chapter 7 Implementation Plan of Resettlement 7.1 Procedures of implementation 7.1.1 Land acquisition and compensation The land acquisition and compensation shall be completed by the cooperative efforts of related organizations, and the detailed procedure is as follows: 1). Southwest Municipal Engineering Design & Research Institute of China provides the detail drawing for the scope of land acquisition, which defines the scope and quantity of land acquisition and house demolition; 2). The Project Office applies for land acquisition to related land administration department; 3). Reply is made on land acquisition application; 4). The Project Office and House Demolition Office negotiate on matters related to land acquisition compensation, sign Land Acquisition Compensation Agreement and handle land use procedures; 5). The House Demolition Office and all related communities and groups go to the site for determination of the scope and quantity of land acquisition; 6). The House Demolition Office and all related communities and groups sign the “Land Acquisition Agreement”; 7). Compensation is appropriated; 8). Legal procedures are handled; 9). Land can be taken over for the Project. 7.1.2 Production recovery and allowance appropriation Production resettlement and recovery will be implemented specifically by related community, and the working procedure is as follows: 1). To hold the villager representative conference to study the allocation scheme; 2). To publish the allocation scheme to solicit opinions from all the villagers; 3). To grant the subsistence allowance. 7.1.3 House demolition and reconstruction The procedure of house demolition, reconstruction and resettlement is as follows: 1). Southwest Municipal Engineering Design & Research Institute of China provides the scope of houses needed to be demolished due to the Project; 2). The number and quality of houses are investigated by the Sub-district Office, community and group; 3). The Sub-district Office and the relocation households negotiate on the compensation standard for houses and the attachments and sign the House Demolition Compensation Agreement;

4). The House Demolition Office and relocation households sign the House Demolition Compensation Agreement; 5). The House Demolition Office posts up the number of houses of each relocation household, compensation standard and demolition and reconstruction time, so as to solicit opinions from relocation households; 6). The House Demolition Office organizes the allocation of house sites; 7). DPs obtain the compensation; 8). DPs build houses and move into the new houses; 9). DPs demolish the old houses. 7.1.4 Rehabilitation of special projects 1). The Design Party proposes the affected range of each special facility; 2). The Resettlement Management Office and all competent authorities of special facilities investigate the number and grades of the affected special facilities; 3). The Resettlement Management Office entrust all competent authorities of special facilities to propose the rehabilitation planning scheme for each special facility according to the resettlement planning; 4). The Resettlement Management Office and all competent authorities of special facilities negotiate on and determine the compensation standard and sign the “Agreement for Compensation for Special Facilities Rehabilitation”; 5). Each competent authority of special facilities carries out special facility rehabilitation; 6). Each special facility is put into operation. 7.2 Schedule Implementation of land acquisition, house demolition and resettlement for the Project will be as per the construction schedule of the Project. Specific construction schedule shall follow the following principles: 1) The DPs shall be informed of house demolition at least 3 months in advance, and be given at least 3 months to build houses from the said date to the deadline of house demolition. The affected persons may live in their old houses before completion of the new houses. 2) House building time shall be fully negotiated with the DPs, which may be properly prolonged if necessary. 3) Land acquisition shall be completed before commencement of project in each bid section. 4) Arrangement of labor force shall be completed before land acquisition. 5) Recovery and reconstruction of each special facility shall be completed before the commencement of each construction project or relocation of DPs. Resettlement schedule for the Project is shown in detail in Table 7-1 and 7-2.

Table 7-1 Resettlement schedule for the Science & Education Pioneer Park Project Time of Activity Participating department and personnel implementation Project preparation and Southwest Municipal Engineering Design & May 2009 - preliminary design Research Institute of China December 2009 Determination of land to be Local Land and Resources Administration acquired (detailed measurement October 2009 – Department, Local Project Office, Sub-district survey includes the land for January 2010 House Demolition Office, community temporary use) Local Land and Resources Administration Survey and verification of houses Department, Local Project Office, Sub-district (including the attachments) of House Demolition Office, community, Southwest October 2009 – affected households, resettlement Municipal Engineering Design & Research January 2010 survey Institute of China and Southwest Jiaotong University Local Land and Resources Administration Department, Local Project Office, Sub-district Convening of various House Demolition Office, community, Southwest May 2009 - consultative conferences and Municipal Engineering Design & Research December 2010 resettlement meetings Institute of China and Southwest Jiaotong University Preparation of detailed compensation and resettlement Local Land Administration Department, Local November 2009 - schemes (including the Project Office, Sub-district House Demolition December 2010 determination of new house site), Office, community, relocation households project staff training Preliminary review of land Land and Resources Administration Department October 2009 acquisition plan Local Land Administration Department, Local Disclosure of the Resettlement Project Office, Sub-district House Demolition October 2009 Plan to the affected persons Office, community, households affected by land acquisition and house demolition Signing of community and Local Project Office, Sub-district House December 2009 – household land acquisition and Demolition Office, community, households March 2010 house demolition agreements affected by land acquisition and house demolition Local Project Office, Sub-district House Appropriation of various Demolition Office, community, households December 2009 – compensation affected by land acquisition and house demolition, December 2010 departments with infrastructure affected Local Project Office, Sub-district House Reconstruction of resettlement June 2010 – June Demolition Office, community, households sites and houses 2011 affected by house demolition Local Project Office, Sub-district House Recovery of production and June 2010 – June Demolition Office, community, households living standard 2011 affected by land acquisition and house demolition Data source: government documents and preliminary design

Table 7-2 Resettlement schedule for the Science & Education Pioneer Park Project

2009 2010 2011 Description J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D Project preparation and preliminary design Determination of land acquired (detailed measurement survey) Survey and verification of houses (including the attachments) of affected households, resettlement survey Convening of various consultative conferences and resettlement meetings Preparation of detailed compensation and resettlement schemes (including the determination of new house site), project staff training Approval of land acquisition Disclosure of the Resettlement Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. 65 World Bank Financed Projects World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

Plan to the affected persons Signing of community and household land acquisition and house demolition agreements Appropriation of various compensation Construction of resettlement sites and reconstruction of houses Recovery of production and living standard Data source: Feasibility Study Report of the Design Party

Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. 66 World Bank Financed Projects World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

7.3 Funds appropriation 7.3.1 Appropriation principle 1). All costs related to land acquisition and house demolition will be included in the total estimate of the Project, in which the compensation for land acquisition and house demolition and other costs will be paid to related organizations and personnel by the Project Office through the district Project Coordination Office. 2). House compensation will be paid to resettlement households in phases before DPs begin to build new houses. 3). Compensation for other facilities will be paid 3 months before acquisition. 4). In order to ensure smooth land acquisition, house demolition and resettlement, financial and supervision organizations at all levels must be established by the Project Office, for the purpose of guaranteeing that all funds are appropriated in place in time. 7.3.2 Organizations in charge of resettlement finance 1). Organizations in charge of the compensation funds for land acquisition are the Project Resettlement Management Office (Project Office), district Coordination Office and community. 2). Organizations in charge of compensation funds for house demolition are the Project Resettlement Management Office and district Project Coordination Office. 3). Resettlement funds employ the superior-subordinate appropriation mechanism. Organizations at each level shall strictly enforce the financial settlement and auditing systems, periodically check and report fund availability and use, and put forward rectification and remedial measures for unforeseen circumstances, so as to ensure that funds can be appropriated and used as planned. Funds flow is shown in Fig. 8. 7.3.3 Funds flow 1). According to compensation policies and standards determined in the Resettlement Plan, the Project Office and district Project Coordination Office (Resettlement Management Office) will sign the “House Demolition Agreement” and “Land Acquisition Agreement”. 2). The district Project Coordination Office (Resettlement Management Office) and communities involved in land acquisition, house demolition and resettlement for the Project will sign the Land Acquisition Compensation Agreement. 3). According to the items, amount and appropriation time of compensation stipulated in the House Demolition Agreement, the Project Office will pay the compensation funds to the district Project Coordination Office (Resettlement Management Office) through the bank, and the latter will then pay the house demolition compensation in phases to the DPs. 4). According to regulations of policies, the Project Office will pay the compensation for crops and other attachments to the district Project Coordination Office (Resettlement Management Office), and the latter will then pay the Mianyang Science and Technology City Development and World Bank Financed Projects 67 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

compensation to the district land Bureau. Finally, the Resettlement Department of the Land Bureau will grant the compensation to the DPs. 5). Financial department of the development zone will entrust the bank to directly appropriate the subsistence allowance to the personal accounts of land-lost DPs. Funds flow is shown in Fig. 5 Below:

Fig. 5 Flow of compensation funds for land acquisition and house demolition District financial – Granted to the DPs as Land compensation → → department subsistence allowance District financial Granted to the DPs as subsistence Resettlement subsidy → → department allowance District Project Compensation for crops and Resettlement → Coordination → Community → the ground attachments households Office District Project Compensation for houses and → Coordination → Relocation households ancillary facilities Office District Project Compensation for temporary → Coordination → Affected households land use Office District Project Relocation transportation cost → Coordination → Relocation households Office District Project Compensation for sparsely – → Coordination Affected households scattered trees Office → Compensation for economic – District – loss of individual business Project suspension → – – Self-employed households Coordination Compensation for economic Office loss of workers’ salaries → – District – Compensation for special Project – Competent authorities of → facilities Coordination – special facilities Office District Project Cost of design and planning → Coordination The Design Party Office – District → Cost of monitoring and Project – Monitoring and assessment → assessment Coordination organization Office – District → Project – Technical training Technical training cost → Coordination organization Office District Project Implementation management Resettlement implementation → Coordination → cost agency Office District Project Consulting fee → Coordination → Consulting firm Office

Chapter 8 Organizations 8.1 Organization frame Completion of land acquisition, house demolition and resettlement can be ensured only at the premise of a powerful resettlement agency. Therefore, an organization network system for resettlement has been formed in Mianyang City from the top level to the grass roots. In addition, a Project Leading Group has been established in Mianyang City, a Project Office established in the Science & Education Pioneer Park and resettlement groups composed of full-time personnel established in affected Pioneer Park sub-districts. Organizations at all levels cooperate, so as to complete the arduous task of resettlement jointly. 8.2 Resettlement agency Governments of the affected regions will be responsible for the arrangement and execution of land acquisition, house demolition and resettlement, while the Employer be responsible for coordination, supervision and handling complaints. The resettlement agency is shown as Fig. 6.

Fig. 6 Agency for land acquisition, house demolition and resettlement

Sichuan Urban Development Project Office

Mianyang STCDI External independent monitoring organization Group Project Office

Mianyang Municipal Bureau of Land and Resources

Construction Bureau of the Science and Education Pioneering Park

Personnel for land acquisition, house Land Acquisition, House Demolition demolition and resettlement in the and Resettlement Office construction brigade contracting project construction

House Demolition Office of the Sub-district Office

Land Acquisition, House Demolition and Resettlement Groups of each community

For the Mianyang Science & Education Pioneer Park, a Project Leading Group and World Bank Project Office have been established, with the Office located at the Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. (hereinafter referred to as “STCDI Group”). The Office, of which the Office Director is the Managing Director of the STCDI Group, has a Land Acquisition, House Demolition and Resettlement Office (with 1-2 full-time personnel). The Leading Group is headed by the Director of the development zone, with members composed of personnel from the Science and Technology Bureau, Mianyang Science and Technology City Development and Investment (Group) Co., Ltd., Construction Bureau, House Demolition Office and other departments. The Office will be responsible for daily works in land acquisition, house demolition and resettlement and for coordinating in various specific works done by Sub-district Offices and communities. Main staff in charge of resettlement of the Employer and Sub-district Office is shown in Table 8-1. Table 8-1 Main staff for resettlement of the Employer and the Sub-district Office Name Title Contact No. Organization Remarks Managing Investment Yao Keqin 13981110611 Director STCDI Group Company Investment and Wang Xia Head 13541744936 STCDI Group Development Department Investment and Xie Sheng Staff 18981103800 STCDI Group Development Department Pioneer Park Sub- House Demolition Li Daixin Director 13908110933 district Office Office Pioneer Park Sub- House Demolition Yang Shanyou Section chief 13990126169 district Office Office Pioneer Park Sub- House Demolition Gou Chengli Staff district Office Office Data source: field survey 8.3 Responsibilities of organizations 8.3.1 Responsibilities of Mianyang Science & Education Pioneer Park Project Leading Group Mianyang Science & Education Pioneer Park Project Leading Group will perform the duties of the Employer, maintaining close touch and cooperation with sub-districts, communities and groups, and directing the Land Acquisition and House Demolition Office in handling matters related to land acquisition, house demolition and resettlement. Mianyang Science & Education Pioneer Park Project Leading Group will be responsible for: ● The organization and coordination of land acquisition, house demolition and resettlement works, payment of compensation and signing of the resettlement agreement with local Land Acquisition, House Demolition and Resettlement

Offices at all levels according to the decisions of provincial and municipal Project Offices. ● Investigating and studying the situation of resettlement, seeking opinions from the affected organizations and individuals, and responding immediately to their complaints. ● Inspecting and monitoring the appropriation of compensation and the application of resettlement funds. ●Providing sub-districts and village groups with guidance in the development of the economic recovery plan. 8.3.2 Responsibilities of the Land Acquisition, House Demolition and Resettlement Office of the STCDI Group It is mainly responsible for the preparation, implementation and supervision of the Resettlement Plan, main works including : ● Preparing the Resettlement Action Plan based on the detailed statistics of the quantity and scale of affected land, houses and special facilities. ● Estimating the prices of the land to be acquired and houses to be demolished, so as to determine the compensation standard. ●Signing the agreements for land acquisition, house demolition and resettlement with the affected enterprises and individuals. ● Inspecting and monitoring the appropriation of compensation and the application of resettlement funds. ● Monitoring the implementation of the Resettlement Plan at Sub-district Offices, communities and groups. ● Regularly reporting the status of resettlement to the provincial Project Office and organizing the preparation of internal monitoring report. ● Dealing with the complaints of the affected persons and timely handling various emergencies in works. 8.3.3 Responsibilities of the Resettlement Office of the Sub-district Office House Demolition Office of the Sub-district Office is of the most importance in land acquisition, house demolition and resettlement, which is in charge of a plenty of daily works including the implementation of the recovery work at the post-resettlement phase; it is an organization that keeps in the closest contact with the affected persons, so it obtains the most comprehensive information on the affected persons. Additionally, the final results of the resettlement are determined directly by the work quality of the organization. The Resettlement Office of the Sub-district Office is responsible for: ● Investigating and verifying the quantity and type of material losses and completing statistics and filing as per categories. ● Investigating and verifying the detailed information of affected persons and completing statistics and filing as per categories. Mianyang Science and Technology City Development and World Bank Financed Projects 73 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

● Organizing the investigation of the social and economic conditions of affected communities and groups. ● Organizing the investigation of the attitudes of affected persons to the Project and their opinions and suggestions on compensation and resettlement. ● Organizing public meetings, door-to-door interviews and questionnaire surveys to listen to the wishes of affected persons extensively. ● Providing trainings for and recommending job opportunities to affected persons. ● Providing assistance to vulnerable groups to ensure that their life and production will not be affected adversely. ● Site selection for houses to be built by affected persons and foundation construction. ● Paying compensation to affected families and organizations. ● Hearing and timely handling complaints of the public. 8.3.4 Responsibilities of communities Communities and groups are the most primary organizations in charge of the land acquisition, house demolition and resettlement. Having no power to make decision, they still play an important role in the implementation. Besides, the quality of resettlement is determined or affected directly by their work quality and effectiveness. Communities and groups are responsible for: ● Completing properly the investigation of material losses of each household as well as investigation of affected persons. ● Cooperating in compensation appropriation and assisting of the vulnerable groups. ● Timely reflecting the problems during work to the superior and maintaining overall communication. ● Cooperating in labor force training and employment recommendation. ● Cooperating in site selection for houses to be built by affected persons and in construction works. 8.4 Capacity building and staff training The capacity of staff in the resettlement agency must be improved and trainings must be carried out regularly for which a system must also be established. Moreover, monitoring and inspection to the resettlement agency must be strengthened. 1) Resettlement agencies in the Science & Education Pioneer Park are agencies with many years’ practical experiences, which have gathered a lot of experiences and lessons related to resettlement during urban expansion in recent several years. Their work performance has been praised by local people and higher authorities. They have particularly accumulated a lot of experiences from early projects of WB. Mianyang Science and Technology City Development and World Bank Financed Projects 74 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

2) In the Science & Education Pioneer Park, full-time resettlement agencies composed of professional personnel familiar with land acquisition and house demolition works and with practical work experience, management skills and information processing technology have been established. During the entire construction process of the Project, staff stability shall be maintained. 3) In order to improve the efficiency of resettlement agencies, government at the higher level have equipped the agencies with special offices, cars, computers, telephones, fax machines and other hardware facilities, which can ensure the timeliness of resettlement works. 4) During the preparation for the Project, the Science & Education Pioneer Park has entrusted qualified training agencies to provide systematic trainings for main staff in charge of land acquisition and house demolition, with the purpose of helping them understand and master related policies and regulations, related requirements of WB and experience of other systems in success and learn information collection and processing technologies, etc. 5) Internal monitoring and assessment shall be strengthened. Resettlement is a complex task where a little carelessness will affect the vital interests of those concerned. Therefore, internal monitoring and assessment must be strengthened. During the implementation of the Project, the resettlement agency shall perform continuous monitoring and assessment mainly on the following five problems: (1) Whether the compensation is paid timely at full amount? (2) Whether resettlement houses have been built timely as per quality requirements? (3) Whether skill training and employment recommendation have effectively solved the problem of employment of land-lost DPs? (4) Whether assistance to vulnerable groups has been put into practice? (5) Whether affected persons are satisfied with the resettlement? 6) Supervision and auditing shall be enhanced. In order to prevent diversion and misappropriation of resettlement funds, higher authorities have made a set of strict supervision and auditing system which requires the resettlement agency to make monthly report to the superior department where the use of funds shall be stated in particular detail. Furthermore, the higher authorities will carry out annual random inspection to resettlement departments regularly and irregularly. What’s more, Committee for Discipline Inspection, Auditing Department and other professional organizations have strengthened the special review to resettlement works.

Chapter 9 Negotiation, Grievance and Participation 9.1 Negotiation 9.1.1 Project stakeholders 9.1.1.1 Identification of Project stakeholders Based upon the feasibility study documents concerning the Project prepared by the Southwest Municipal Engineering Design & Research Institute of China, the identification of all the stakeholders/interest groups related to the Project can be enforced as follows:  Mianyang Science and Technology City Development and Investment (Group) Co., Ltd., as the Project Employer, is considered as the execution organization of the Project established specially for the demand of the Project construction;  The Pioneer Park Sub-district Office is in charge of the detailed implementation of land acquisition, house demolition and resettlement as required;  World Bank is responsible for the loans to the Project;  The communities, groups and individuals affected by the Project include the collectives and individuals in communities, the residents in sub-district offices, etc. affected by the land acquisition and house demolition;  The construction contractor is the Contractor in charge of the construction of the Project. 9.1.1.2 Analysis of major stakeholders  Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. As the Employer, the responsibilities of Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. include the bidding involved in the Project; supervision and management of the construction activities by the Contractor; and coordination with local governments at all levels and concerned organizations in completion of the land acquisition, house demolition and resettlement of the Project. As the significant activities within its functions, the land acquisition, house demolition, resettlement and construction of the Project have a direct bearing on the welfare of the affected collectives and individuals. On the one hand, it must perform the function of supervision and management earnestly, supervise strictly over the safety and qualified construction by the Contractor, protect the production and living facilities of affected communities, groups and villagers properly, requiring for appropriate compensation and timely return if occupied, and for immediate protective measures and restoration if damaged; it shall implement the land acquisition, house demolition and resettlement properly and appropriate the compensation to the affected farmers timely and fully under the cooperation with the local government. On the other hand, it shall receive consciously the supervision from the local government as well as villages and groups along the line; ensure the functioning as per the national and local policies Mianyang Science and Technology City Development and World Bank Financed Projects 76 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

and regulations; and handle properly the issues concerning the rights and interests of communities, groups and villagers along the line which may appear during the Project construction to maintain the rights and interests of the collectives and individuals affected by the Project and the image of the Project effectively on the basis of the principle of “Negotiation with all unlimitedly informed in advance”.  Pioneer Park Sub-district Office Pioneer Park Sub-district Office affected by the Project not only benefits from the Project construction, but also shoulders some significant responsibilities involved during the mobilization and construction of the Project., including detailed implementation of the land acquisition, house demolition and resettlement, appropriation of compensation, guarantee of the normal construction order, mediation of all the conflicts and disputes caused by the Project construction, maintenance of the local social order and the rights and interests of local affected enterprises and residents, etc. At this point, it is in a dilemma of smaller power with greater responsibility. Therefore, for one thing it shall perform its responsibilities fairly as per national and local policies and regulations; for the other thing, it shall play a role of intermediary in coordination, communication and conflict conciliation by utilizing the advantages of being acquainted with the local folk customs as well as the laws and regulations and mastering of the policy measure. Via field surveys and interviews, the officials from the Park Sub-district Office affected by the Project, especially those who are assigned by the government at the level for assistance in the Project, have an intimate knowledge of the Project with outstanding foresights regarding the potential risks of the Project and the challenges in performance of responsibilities. Furthermore, they are very familiar with the local people and public opinions and gain the public’s confidence due to being on good terms with the public at all levels under its jurisdiction, especially the persons affected potentially by the Project, which can be viewed as the critical condition for ensuring their positive contribution to the Project.  World Bank The World Bank is one of loaners for the Project, but its contribution to the Project is more than loans. To assist the Employer in successfully implementing the Project construction and reducing the loan risk, the World Bank has established a special Project Team responsible for strict monitoring and professional guidance during the Project mobilization, implementation and operation management in later period in accordance with the relevant business policies of the World Bank and rich experiences in international projects. The World Bank insists that the enforcement of its safeguard policy through the Project plays an important role in enhancing the normalization of policies and operations related to the Project and reducing the potential risks of the Project.  Collectives and individuals affected by the Project The collectives affected by the Project indicate the communities and groups affected by the land acquisition, and the affected individuals refer to the villagers affected by the Project, who will not only benefit from the Project construction Mianyang Science and Technology City Development and World Bank Financed Projects 77 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

continuously, including convenient traffic and local development, but also directly suffer from all sorts of potential negative impacts imposed by the Project. The field survey indicates that residents in the Project area, especially villagers, with rich experience in relevant early projects have a general knowledge of the Project activities and its potential positive and negative impacts, and have faith in the local government and responsible officials. In addition, with expecting that the potential conflicts and disputes can be settled by equal consultation and considering that the community can represent their wishes, they are acquainted with necessary means of maintaining rights such as appealing to the government and associated legal organs and can offer the understanding and support to the Project construction. The issues generally concerned by them include whether the compensation can be appropriated timely and fully to the affected farmers, whether the resettlement houses for relocation households can be arranged timely and properly, whether the future living standard can be maintained and improved, whether the concerned information can be announced in time, whether the villagers’ opinions will be respected and adopted and whether many hazards will be left by the Project in the villager’s production and living.  Construction contractor At present, the Project is still in the mobilization stage. The Employer deems that it is required to conduct the bidding of Project engineering openly in strict accordance with relevant policies and regulations of the nation and departments to ensure that the qualified construction company can win the bidding; and to strengthen the supervision and management over the construction contractor. Moreover, the Employer says that the construction contractor shall employ preferably the qualified surplus laborers within the Project area during recruitment and shall give priority to the resources or products of communities or enterprises along the line during the selection of raw materials based on the principle of making efforts to increase the benefits of communities and residents within the Project area. 9.1.2 Stage, ways and contents of public participation The public participation of the Project embodies in:  The public participation during the Project mobilization period;  The public participation during the implementation of land acquisition, house demolition and resettlement;  The public participation during the construction of this Project; and  The public participation in the monitoring and assessment after the completion of Project. The contents and ways of public participation include:  Negotiation;  Resettlement meetings;  Field surveys on the potential material damage and property loss as well as the

socioeconomic status;  Comment on compensation standards;  Selection of resettlement residential area;  Compensative investment for collectives; and  Assistance in income recovery, recommendations and trainings. The contents of public participation include:  Community level: i) The leaders of communities and groups along with villager representatives can participate in the land acquisition, house demolition as well as the survey and confirmation of the quantity of associated attachments. And the head of household, villager representatives, community officials, the Sub- district Office, the design party and the construction party are involved in the survey. ii) After the survey, the affected persons shall verify and confirm the details about anticipated losses of the land, buildings and crops. All of concerned parties shall sign the compensation agreement, three copies of which can be kept respectively by the affected communities, local farmers and the construction party. iii) The location of new resettlement residential area will impose a direct effect on the villager’s future living and small-scale business activities. Generally, the affected families tend to select the location with the advantage in doing business for the construction of resettlement area. During the selection of resettlement areas in the Project, the resettlement department shall fully respect the villager’s willingness to provide more opportunities for them in free selection of the location of resettlement area. In addition, a set of supervision mechanism will be established as per the actual implementation of the procedure.  The public participation is one of significant and essential steps in the Project survey and design. The Survey and Design Organization shall conduct the in- depth field survey and convene various consultative conferences to seek for opinions and collect extensively the requirements for the Project from all related parties. Through repeatedly negotiating with the concerned departments of local governments and concluding related agreements, it shall resolve the issues on the water source, drainage, earth borrowing and disposal sites, aggregates supply in the Project and a series of other issues to be considered during early construction. Furthermore, the related personnel will make discussions on the matter of interests in associated areas with the Coordination Office of the Sub-district Office, and work out the best treatment scheme.  The public participation is also the vital part in assessment. During the preparation of the resettlement plan report (draft), via the in-depth survey, the design party and the preparation organization of the Resettlement Action Plan know the issues generally concerned by the affected people. With distribution of questionnaires and site interviews, the people at the levels of district, sub-district Mianyang Science and Technology City Development and World Bank Financed Projects 79 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

office and community get involved and have a preliminary knowledge of the Project. The interviewed farmers are very cooperative in providing the details about the related family members, housing area, family income and expenditure, housing conditions and family durable goods, and the impacts suffered due to the land acquisition and house demolition; giving their views on the resettlement; and showing the attitude towards the construction of Science & Education Pioneer Park Project. The procedure is still available during the preparation and implementation of the detailed resettlement plan.  The construction of the Project is also can be viewed as the process of public participation. During the Project construction, the farmers and urban residents along the line can obtain the job opportunities brought by the construction or participate in the construction activities of the Project. The farmers and industrial and commercial enterprises along the line can benefit from the nearby procurement of materials and raw materials required in the Project construction.  During the construction and after the completion of the Project, the monitoring and assessment activities also require the public participation, during which the public rights and interests shall be guaranteed. Besides, the survey and evaluation during monitoring and assessment require the public participation and support.  During the implementation of the census plan for dislocated persons, the public participation shall be included in the resettlement plan, and also be deemed as a part of the detection and evaluation plan later. 9.1.3 Participation during the mobilization stage 9.1.3.1 Mobilization conference of the resettlement plan The public participation and negotiation is one of major contents during the preparation of the resettlement plan. Two organizations, i.e. the Preparation organization of Feasibility Study Report and Southwest Jiaotong University (the Preparation organization of the Resettlement Plan), are involved. The participation activities mainly include negotiation with the local government and relevant departments, on-site impact survey, socioeconomic survey (20% sampling) and social assessment. The extensive and in-depth discussion and negotiation on the optimal design of the Project, impact survey and restoration measures shall be conducted repeatedly, all of which shall be embodied in the process of negotiation. During the project plan of the Science & Education Pioneer Park Project, many conferences have been convened with local authorities (see Table 9-1). The most important contribution made during these conferences lies in the determination of the affected communities and farmers. During conferences, a series of issues have been discussed to evaluate the affected persons, the affected population and the affected degree, such as the population to be relocated, the quantity of land acquisition, compensation standards. In Aug. 2009, the surveys made by the Preparation organization of the Resettlement Plan covered 105 affected families in total, exclusive of the surveys made by the design party. See the picture of conference as Fig.7.

Figure 7 Picture of the Employer, House Demolition Office, community and group officials conference Table 9-1 Table for project stakeholders conference and survey of the Science & Education Pioneer Park Project Number Date Organization Participant of people Content (person) Mianyang Science and Traffic supervisor, technical Technology City Development supervisor from the Preparation Selection of the June, 2009 10 and Investment (Group) Co., organization of Feasibility Study Project Ltd. Report Mianyang Science and Relevant supervisors and Technology City Development technicians from the Preparation Discussion on the June, 2009 8 and Investment (Group) Co., organization of Feasibility Study scale of road Ltd. Report Opinions and All the affected communities, The affected villagers, the attitudes towards the Preparation organization of representatives respectively from the construction Feasibility Study Report, the the Preparation organization of August, 2009 50 and suggestions on Land and Resources Bureau Feasibility Study Report, the the land and the House Demolition Land and Resources Bureau and acquisition and Office the House Demolition Office house demolition Opinions and All the affected communities, The affected villagers, the attitudes towards the Preparation organization of representatives respectively from the construction the Resettlement Plan, the the Preparation organization of August, 2009 150 and suggestions on House Demolition Office and the Resettlement Plan, the Land the land the Land and Resources and Resources Bureau and the acquisition and Bureau House Demolition Office house demolition Data Source: the data preparation provided by the Preparation organization of Feasibility Study Report. During the mobilization of land acquisition, house demolition and resettlement, the negotiation conferences and talks have been convened, two of which will be continued Mianyang Science and Technology City Development and World Bank Financed Projects 81 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

during the implementation of the Project. The negotiations mainly include:  The negotiation between the Employer and the affected sub-district offices, communities and groups;  The negotiation between the Coordination Office of the Sub-district Office and the affected communities and villager groups; and  The negotiation among local resettlement departments, communities/villager groups and farmers. The major content of negotiation cover compensation standards for the land acquisition, house demolition, housing resettlement site, date of relocation, usage of land compensations, resettlement mode, etc. During the mobilization and implementation of land acquisition and house demolition in the Project, the various conferences concerning all the aspects shall be convened repeatedly between the local government and the affected persons, between the organizations at all levels and between the relevant departments and the local government, including:  The villager assembly convened by the communities or villager groups;  The farmer conference convened by the Sub-district Office and communities;  The village official and villager representative assembly convened by the Sub-district Office and communities;  The resettlement plan discussion convened by the Coordination Office of the Sub-district Office; and  The regular working conference convened by the Coordination Office of the Sub-district Office and the Land Acquisition & House Demolition Team of the construction party. 9.1.4 Public opinion survey In August 2009, the Preparation organization of the Resettlement Action Plan conducted a relatively large-scale public opinion survey by sampling of the affected villages covering 126 persons to know about the opinions of the households affected by the land acquisition, house demolition and resettlement as well as associated communities on the Project construction and resettlement. See Table 9-2 for survey results of the relevant public opinions and opinions on resettlement. In general, most of people are familiar with the information about the Project to be constructed and are in favor of the Project construction. Over half of respondents (78%) know the Science & Education Pioneer Park Project to be constructed well, and 7% not; but the majority (84%) are favor of the Project construction, only 7% not, and 9% have no preference; Also, they are worried about the potential impacts brought by the land acquisition and house demolition of the Project on their life. As for the impacts imposed by the Project, 47% deem that the traffic condition will be improved by the Project for the convenience of travel; 22% think that the Project will have an effect on the local investment environment, appealing to more foreign investors and bringing more

opportunities to the local; However, some refer to the negative impacts, including 71% deem that the Project will exert negative effects on their life; 67% clearly indicate that they are worried about the reducing economic income caused by the land acquisition; 20% consider that the local traffic condition will be affected during construction; and 33% think that the house demolition in the Project may result in the economic loss of the affected persons. Since the compensation policy for land acquisition and house demolition of the Project is still not finalized, part of respondents (14%) are acquainted with the national compensation policy for land acquisition, yet over 1/3 (56%) just know a little; however, over half (55%) are aware of the grievance means to safeguard legitimate rights and interests.

Table 9-2 Statistics for public opinion survey of Science & Education Pioneer Park Project Unit: person (%) Results (1) (2) (3) (4) (5) S/N Question Answer Number Number Number Number Number of % of % of % of % of % people people people people people Do you know (1) Very clear 98 78 19 15 9 7 - - - - about the (2) Not very clear 1 construction of (3) Not clear this Project? Do you approve (1) Approval 106 84 9 7 11 9 - - - - 2 the construction (2) Disapproval of this Project? (3) No preference a) Nation 122 97 ------Do you think (1) Yes (2) No who can benefit b) Collective 73 58 ------3 from the Project? (1) Yes (2) No (multiple choices) c) Individual 40 32 ------(1) Yes (2) No (1) Life affected Do you think by the land 115 91 72 14 11 28 22 59 47 what impacts on acquisition your production (2) Traffic and living will improved for 4 the Science & more convenient Education travel Pioneer Park (3) No impact 90 Project bring (4) Impact on the about? local investment environment (1) No adverse impact (2) Traffic affected by the Do you think construction what adverse (3) Economic impacts on you losses caused by will the Science 20 16 25 20 42 33 84 67 3 2 5 the house & Education demolition Pioneer Park (4) Incomes Project bring decrease due to about? the land acquisition (5) Other adverse impacts (1) Monetary Which resettlement resettlement (2) Land 6 mode for land adjustment 19 15 13 10 88 70 6 5 - - acquisition do (3) Social you prefer? insurance (4) Miscellaneous Mianyang Science and Technology City Development and World Bank Financed Projects 84 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

(1) Centralized resettlement (2) Scattered Which resettlement resettlement (3) Monetary 7 mode for house 6 5 118 94 2 1 resettlement demolition do (4) Resettlement you prefer? by complete department (5) Miscellaneous (1) Timely appropriation What are your (2) Full 33 26 81 64 29 23 - - - 8 requirements for appropriation compensations? (3) Proper compensation standard Do you know (1) Very clear about the national (2) Not very clear 18 14 71 56 39 31 - - - - compensation (3) Not clear 9 policy for land acquisition, house demolition and resettlement? Do you know (1) Yes how to make (2) No grievance if your legitimate rights and interests are 10 69 55 57 45 ------infringed during the land acquisition and house demolition? Data Source: field survey

9.1.5 Resettlement participation plan during implementation stage During implementation, any affected communities or groups shall convene the two sorts of resettlement conferences as follows:  The House Demolition Office of the Sub-district Office convenes the villager representative conference, focusing on the issues about the significance of the Project construction; the scope, location and date of land acquisition and house demolition; and the applicable national and provincial regulations and policies regarding the land acquisition and house demolition. Generally, it shall be conducted during the negotiation and talks on the land acquisition and house demolition of certain subproject;  At least one month before finalization, the community shall call all the villagers or households for the villager assembly, focusing on the issues about the interpretation of the applicable national and provincial regulations and policies; the scope, quantity and compensation standards of land acquisition and house demolition; the construction of resettlement residential areas and resettlement measures; concerned recovery plans and the income restoration; the allocation proportion of compensations between the collectives and the affected households; the investment of collective compensation; livelihood training needs and plans; hearing of the opinions and suggestions from participants, etc. Generally, it shall be convened during the implementation of land acquisition and house demolition and signing the compensation agreement.  The public hearing shall be convened with the affected persons and relevant stakeholders involved at least one month before the implementation of resettlement. 9.2 Dissemination and information publication The dissemination and information publication will be initiated during the early mobilization of the Project by various media, such as broadcast, television, newspapers and publications to disseminate extensively the information about the construction purposes and significance of this Project, the date and site of the Project construction, the specific regulations on enforcing the national policy for land acquisition and house demolition established by the provincial, prefecture-level and district-level governments, aiming at enable the local to know about the related issues about the land acquisition and house demolition of the Project. Before the house demolition conducted by the Sub-district Office, the announcement of unified land acquisition and house demolition shall be issued to all the affected persons to enable them to know about the related issues including the unified land acquisition and house demolition, its coverage, the compensation and resettlement policies, relevant regulations on the freezing of accounts, the ban of rush-planting, etc. The drafting of the resettlement information manual has been started. The manual including the brief introduction of the Science & Education Pioneer Park Project and other descriptions about the land acquisition and house demolition, and the resettlement coverage, procedures, principles, the price of comprehensive compensation per unit area and grievance mechanism, will be issued to all the affected Mianyang Science and Technology City Development and World Bank Financed Projects 86 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

persons and villages by the Land Acquisition & Resettlement Management Office of the local government. As one of major means of information publication, the resettlement assembly aims at enabling the participants to know about the implementation of land acquisition, compensation policy and standard, the construction of resettlement residential area as well as the resettlement mode, and collecting the feedback information from the participants. 9.3 Grievance channels In view of the complicated resettlement, there will no doubt be grievance and complaints from the affected persons during the implementation of resettlement. To ensure the benefits of the affected persons, the Resettlement Management Office will establish a set of high-transparency summary procedure for collection and disposal of grievance and complaints to deal with the public grievance and complaints in an objective, fair and effective way and to ensure the smooth implementation of resettlement. 9.3.1 Collection methods of grievance and complaints The main collection methods of grievance and complaints on the Project resettlement include:  The grievance of the affected persons can be collected from the report prepared by the local Resettlement Management Office, including the public complaints on the schedule and working measures as well as existing issues.  The information about whether the construction affected by someone can be obtained from the construction logs submitted to the Employer weekly by all the contractors.  The problems regarding the land acquisition and resettlement can be found by the Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. via the site inspection.  They can be gained from the relevant information provided by IMO.  They can be reflected by the letters and callings from the affected persons.  They can be collected from the related information and problems provided by the local resettlement management offices at all levels.  They can be collected from the associated special issues reflected by the Audit Department and Discipline Inspection Department.  They can be obtained from the special surveys under the internal and external monitoring. 9.3.2 Grievance procedures 9.3.2.1 Stage I The affected persons can present their grievance and complaints in oral or written form to the community or the Resettlement Management Office of the Sub-district Office, which shall keep one written record of oral grievance and offer a clear reply Mianyang Science and Technology City Development and World Bank Financed Projects 87 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

within 2 weeks. If the grievance concerning serious issues is required to be reported to the county-level competent authority, the community or the Resettlement Management Office of the Sub-district Office shall receive the reply from the county- level competent authority within 2 weeks. 9.3.2.2 Stage II If the complainant is unsatisfied with the reply in Stage I, he/she can make an appeal to the Resettlement Management Office at the higher level within one month after receipt of the reply in Stage I. The district-level Resettlement Management Office shall make the decisions within 3 weeks. 9.3.2.3 Stage III In case that the affected persons are dissatisfied with the reply provided by the district-level competent authority, they can make an appeal to the city-level or provincial-level competent authority within one month after receipt of the reply in Stage II. The city-level or provincial-level competent authority shall make the reply within 4 weeks. 9.3.2.4 Stage IV If the affected persons are unsatisfied with the reply in Stage III, they can make an appeal to the Civil Court within 15 days after receipt of the reply provided by the city- level or provincial-level competent authority. 9.3.3 Principle of handling grievance and complaints The resettlement management offices at all levels shall conduct the research and study on the public grievance and provide the results and fair solutions as per the national laws and the principles and standards of the Resettlement Action Plan after taking the public opinions into full consideration and discussing in patience. The grievance beyond their handling ability shall be submitted to the Resettlement Management Office at the higher level with the assistance in survey provided. If the decision-making body fails to reply at the specified date, the case can be handled in further appeal. In view of some special grievance and complaints made by women during resettlement, the provincial-level competent authority has assigned at least one female worker for each resettlement group to handle these complaints from women. The local government and non-governmental organization (e.g. the Civil Administration Office and Women's Federation) will enforce the monitoring of resettlement activities to ensure the action plan, especially the woman’s right. 9.3.4 Contents and ways of reply 9.3.4.1 Reply contents The main contents of reply include: ● Brief introduction of grievance and complaints; ● Results of fact-finding; ● Applicable national regulations and principles and standards of the Resettlement Action Plan; Mianyang Science and Technology City Development and World Bank Financed Projects 88 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

● Solutions and reference standards; and ● The complainant is entitled to make an appeal to the Resettlement Management Office at the higher level and the Civil Court. All the legal costs shall be borne by the Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. 9.3.4.2 Reply ways The major ways of reply include: ● The written reply of exceptional appeal case shall be delivered to the complainant. ● The reply of common appeal case shall be announced to the concerned villages or groups by means of convening of the villager assembly or issuing relevant documents. ● The replies in any forms shall be delivered to the Resettlement Management Office involved. 9.3.5 Recorded grievance and final feedback During the implementation of resettlement, the Resettlement Management Office shall record the grievance and proper solutions, and submit monthly the written report to the provincial-level Project Office, which shall be in charge of regularly checking the record of solution to the grievance. To ensure the standardized and complete grievance record, the Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. has already established one format table so as to record or register the grievance and proper solutions (see Table 9-3). Table 9-3 Registration form for resettlement grievance of Science & Education Pioneer Park Project Name of complainant Office concerned Date Receiving point Content Problems to be solved Alternative solutions Actual results of alternative solutions Signature of complainant Signature of recorder Note: 1. The recorder shall register the grievance content and requirements of the complainant truthfully; 2. No obstacles or hinders are allowed during appeal; 3. The alternative to be adopted shall be informed of the complainant during planning.

Chapter 10 Monitoring and Assessment For the sake of ensuring smooth implementation of Resettlement Plan and realizing the appropriate resettlement, the Project will conduct whole-course monitoring of the implementation of land acquisition and resettlement. The monitoring consists of the internal monitoring by the resettlement agency and the independent external monitoring. 10.1 Internal monitoring 10.1.1 Purpose and task The purpose of internal monitoring is to ensure the good performance of resettlement agencies at all levels during the implementation of the Resettlement Action Plan, and guarantee that the construction of this Project can be carried out smoothly and the legal rights of the affected persons shall not be infringed. The auditing departments at all levels will independently exercise the power of auditing supervision over the related organizations under the jurisdiction in accordance with the laws and regulations. The superior organizations shall assume the responsibility for monitoring their subordinates to ensure the resettlement can be implemented based on the principle and schedule in the Resettlement Action Plan. 10.1.2 Organization and personnel The internal monitoring over the land acquisition, house demolition and resettlement shall be arranged by the Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. and be enforced with the help of the Sub-district Office and all the communities. To perform the function of internal monitoring effectively, the resettlement agencies at all levels have assigned the professional personnel who have participated in the preparation and implementation of the Resettlement Action Plan, and will conduct the internal monitoring and control as per the enforcement procedures of the Resettlement Action Plan. 10.1.3 Contents of monitoring The main contents of internal monitoring are shown as follows: 1) Appropriation and application of resettlement compensation; 2) Selection and allocation of new house sites; 3) Reconstruction of private houses; 4) Support to vulnerable groups; 5) Employment arrangement for the affected labors; 6) Quality and quantity of newly-developed land; 7) Land adjustment and allocation; 8) Appropriation of compensations for land acquisition and resettlement; 9) Resettlement of enterprises and individual businesses; 10) Restoration of special facilities; 11) Scheduling of the activities mentioned above; Mianyang Science and Technology City Development and World Bank Financed Projects 90 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

12) Implementation of policies and regulations stated in the Resettlement Plan; 13) Public participation and negotiation during the implementation of resettlement; and 14) Staffing, training, work schedule and the performance of resettlement agencies at all levels.

10.1.4 Procedures of implementation The implementing procedures of internal monitoring are shown as follows: 1) Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. shall establish an internal monitoring mechanism to inspect the resettlement activities, to build a basic database for land acquisition, house demolition and resettlement, and to monitor the mobilization and implementation of resettlement. 2) During the implementation, the resettlement agencies at all levels shall establish a proper information base for resettlement, and renew the information as per the practical conditions. In addition, they shall promptly report records of activities and progress of implementation to the superior resettlement agency so as to maintain the continuous monitoring for the implementation of resettlement. 3) In the monitoring mechanism mentioned above, the information table shall be prepared as required to realize the continuous flow of information from the village-level organization to the Resettlement Management Office. As the main component of the internal monitoring system, the Sub-district Office and the resettlement working team shall conduct the regular inspection and verification. 10.2 Independent external monitoring and assessment 10.2.1 Purpose and task As for the external monitoring and assessment, the resettlement agency shall conduct the regular monitoring and assessment over the land acquisition, house demolition and resettlement activities to determine whether the goal of resettlement can be achieved, and then provide the opinions and recommendations on the whole process of resettlement and the restoration of production and living standards of the affected persons, the early warning system for the project management department and the channels for reflecting the opinions of dislocated persons via the external monitoring and assessment. The external monitoring organization shall serve as the consultant for the Mianyang Science and Technology City Development and Investment (Group) Co., Ltd., with the responsibilities of following, monitoring and evaluating the implementation activities stated in the Resettlement Plan and providing the advisory opinions for decision-making. 10.2.2 Organization and personnel Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. will determine the resettlement monitoring organization by bidding. The independent external monitoring organization will provide the technical assistances Mianyang Science and Technology City Development and World Bank Financed Projects 91 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

for the Science & Education Pioneer Park Project Office, and conduct all the basic monitoring by means of the resettlement investigation as well as the survey for living standard of the affected people as required. 10.2.3 Key indicators of monitoring and assessment The key indicators of external monitoring over resettlement include: 1) Key indicators of monitoring (1) Progress: it includes the mobilization, implementation of land acquisition, house demolition and resettlement. (2) Quality: it includes the engineering construction quality and the satisfaction of dislocated persons during the implementation of land acquisition, house demolition and resettlement. (3) Investment: it includes the appropriation and application of the compensations for land acquisition, house demolition and resettlement. 2) Key indicators of assessment (1) Resettlement ① Economic conditions: it refers to the development of family economy before and after the resettlement, including the possession of means of production and means of livelihood, assets, incomes, etc.; ② Environmental conditions: it indicates the living environment before and after the resettlement, including the development of the public utilities of traffic, culture and education, sanitation, business service, etc. ③ Employment: it refers to the changes in employment before and after the resettlement, including the employment rate and the assistance to the different affected persons, especially the extremely poor households; and ④ Development in community: it indicates the local economic and environmental development, human relations and public opinions at the new resettlement site. (2) Infrastructure: it refers to the changes of infrastructure in the affected area before and after the implementation; (3) Enterprises and individual businesses: it indicates the changes in operating environment and condition before and after the resettlement. 10.2.4 Method of monitoring and assessment The monitoring and assessment shall be enforced on the basis of the survey data provided by the survey & design organization and the resettlement agency. With an overall understanding of the situation, the assessment can be performed by the combination of the sample survey and rapid assessment. The external monitoring and assessment organization shall also carry out the following work:

1) Survey of dislocated persons’ living standards  It is required to conduct the comprehensive background survey for the Project and collect the sample information on the basic production and living standards selected by random sampling. The survey for production and living standards shall be enforced 1-2 times per year to check the changes in the sample production and living standards. The relevant necessary information can be acquired by means of regular surveys, random interviews and field observation. Hence, the statistics analysis can be carried out based on the information to make the proper assessment.  The questionnaire of living standard comprises of all the indicators of production and living standards. Some of indicators will be used to reflect the changes in production and living standards by the dynamic variation before and after the land acquisition, house demolition and resettlement. The design of indicators shall be inspected for they are reasonable in reflecting the actual production and living standards in the background survey and are subject to modification according to the actual conditions, to guarantee that the information acquired can reflect the quality and quantity of the actual production and living standards in a comprehensive and truthful way. 2) Public negotiation The external monitoring organization will attend the public negotiation conference held by the village and the Sub-district Office so as to assess the participation of dislocated persons and the coordination of participation in the Resettlement Plan. These activities will continue during and after the implementation of the resettlement. 3) Opinions of dislocated persons To know about the opinions of dislocated persons, the external monitoring organization shall have regular interviews with the Sub-district Office and the resettlement agency of village group as well as have formal or informal interviews with the dislocated persons with complaints. Besides, it shall report the opinions and requirements of the affected persons and collectives to the superior and submit the suggestions for improvement so as to ensure a more effective implementation of the resettlement. 4) Other responsibilities The independent external monitoring organization shall monitor the following activities during implementation: (1) Selection of resettlement sites; (2) Construction of resettlement residential area; (3) Production resettlement and restoration; (4) Support to the vulnerable groups; (5) Relocation of individual businesses; (6) Restoration and reconstruction of special facilities; Mianyang Science and Technology City Development and World Bank Financed Projects 93 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

(7) Appropriation of compensation and its amount; (8) Relocation; (9) Employment of laborers; (10) Training; (11) Scheduling of items mentioned above; (12) Resettlement angecies; (13) Application of compensation for the collective-owned land and the incomes of dislocated persons; and (14) Income growth of laborers. 10.2.5 Procedures The external monitoring shall be conducted according to the following procedures: 1) Preparation of the outline of monitoring and assessment; 2) Software development of the information system for resettlement monitoring and assessment; 3) Preparation of the survey outline, questionnaire and record cards for typical villages and typical households; 4) Design of sample survey; 5) Background survey; 6) Establishment of the information system for monitoring and assessment; 7) Survey monitoring, including: —monitoring the regional socio-economic survey; —monitoring the resettlement angecy; —monitoring the survey on typical villages; —monitoring the survey on typical households; and —monitoring the typically surveys for other objects. 8) Sorting of monitoring data and establishment of database; 9) Contrastive analysis; and 10) Preparation of two monitoring and assessment reports during the implementation of the Project. 10.2.6 Report preparation plan 10.2.6.1 Resettlement Action Plan Report The Resettlement Action Plan (RAP) in this Project has been completed in Nov. 2009 and submitted to the World Bank for assessment via the Sichuan Project Office. 10.2.6.2 Progress report of resettlement 1) Period Mianyang Science and Technology City Development and World Bank Financed Projects 94 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

Starting from the commencement date of the land acquisition, house demolition and resettlement, the resettlement agencies at all levels shall submit the progress report (internal monitoring report) at least once every 3 months to the superior resettlement agency. The Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. shall collect and sort the information about the implementation of land acquisition, house demolition and resettlement under the jurisdiction, and prepare the Resettlement Progress Report in accordance with the progress provided by the resettlement agencies at all levels and then submit it to the World Bank twice every year, respectively before Jun. 30th and Dec. 31st. The time period of the report is half a year. 2) Layout of contents Based upon the requirements of the World Bank, the report usually consists of two parts: a) the text part stating generally the compensation for land acquisition and house demolition in this Project; showing the accidents, issues and difficulties emerged during implementation, and the corresponding solutions and measures; and b) tables showing the statistical data collected semiannually as per the report form provided by the World Bank, which mainly reflecting the comparison between the actual and planned quantities of land requisition, house demolition and compensation in the area affected by this Project. The table formats are shown as Table 10-1 and Table 10-2. Table 10-1 Progress report for implementation of the land acquisition, house demolition and resettlement of Science & Education Pioneer Park Project Prepared by:

As of: __(MM)__(DD)__(YY) Filling date: __(MM)__(DD)__(YY)

Completed Item Unit Planned quantity quantity in this Accumulated Completion (%) quarter Funds appropriation Reconstruction of private houses Move-in new houses Demolition of old houses Land acquisition

Land reclamation

Filled by: Signature of chief: Official seal:

Table 10-2 Statistics for compensations for land acquisition & house demolition and resettlement allowance of Science & Education Pioneer Park Project Township (Sub-district Office) As of: __(MM)__(DD)__(YY) Filling date: __(MM)__(DD)__(YY)

Departmen Content Unit Qty. Investment (yuan) Availability of compensations for land acquisition and t house demolition as well as resettlement allowance (yuan)

Filled by: Signature of chief: Official seal:

Note: the contents include construction of water conservancy projects (e.g. the canal (m), the irrigation stations (set), etc.); setting up of husbandry (raising pigs (Nr.), chickens (Nr.), ducks (Nr.), etc.); land reclamation (mu); construction of public service projects; infrastructure construction, running enterprises (Nr.), etc. 10.2.6.3 Independent resettlement monitoring and assessment report The external monitoring organization shall submit the independent external monitoring and assessment report on resettlement to the Sichuan Urban Project Office and the World Bank before Jul. 31st every year. 1) Period According to the requirements of the World Bank, from commencing the implementation of land acquisition, house demolition and resettlement, the external monitoring and assessment organization shall submit the independent external monitoring and assessment report to the World Bank via the Project Employer twice every year (respectively before Jul. 31st and Dec. 31st) after conducting the monitoring and assessment surveys respectively in April and October every year. Based upon the overall progress of the Project, the land acquisition, house demolition and resettlement shall be commenced in December, 2009 and completed in June, 2010. And the independent resettlement monitoring and assessment shall be conducted twice (one in 2010 and the other in 2011) as per the completion of the resettlement implementation. 2) Contents The contents of external monitoring and assessment include: (1) Background surveys for dislocated persons; (2) Progress of the land acquistion and resettlement;

(3) Production resettlement and restoration; (4) House demolition and construction of resettlement residential area; (5) Living standard of the dislocated persons; (6) Availability and application of the resettlement funds; (7) Assessment on the performance and benefit of resettlement agencies; (8) Support to vulnerable groups; and (9) Existing issues and recommendations.

Chapter 11 Power Matrix The power matrix for the affected persons shall be determined on the basis of resettlement compensation principal for the county government of the Science & Education Pioneer Park Project, see Table 11-1 and 11-2. Table 11-1 Power matrix for the land acquisition, house demolition and resettlement compensation of Science & Education Pioneer Park Project Affected Compensation or Category Compensation standard person resettlement measures 1) Compensation for 1. The compensation for land acquisition shall cultivated land be issued to the affected persons as the 2) Compensation for lifelong living expenses. The affected farmers Village non-cultivated land shall be provided with the rural-to-urban collective 3) Compensation for all resettlement and living expenses (55-116 the attachments of yuan/person/month) after the land acquisition. village collectives 2. See Chapter 5 and Table 5-1. 3. 1) Crops compensation 1. The compensation for crops and attachments 2) Compensation for all shall be appropriated as per the market and the private replacement costs under the policy framework attachments of the Resettlement Action Plan. 3) One or several series 2. According to the decision made by the of village production villager assembly, the land compensation and living shall be used for a series of village production development and living development measures for all the measures, including villagers. but not limited to: 3. As villager members, the land-lost APs shall a) Land reallocation be treated fairly and equally in the b) Participation in social reallocation of all the village resources during Farmer security the development of the village production and Land c) Compensation in living. A series of village development acquisition cash for the affected planning shall be developed and negotiated in households the villager assembly, and based on the d) Employment training available resources, it includes the planning of land and financial resources as well as other social security and non-agriculture jobs. The planning shall ensure the equal opportunity for all the members so that the affected farmers can be provided with the compensation under the planning.

1. All the rights 1. The further confirmation of the vulnerable concerning the groups shall be conducted in the detailed affected vulnerable planning. groups 2. The top priority shall be given in all of 2. Assistance and top production and living development measures. Vulnerable priority during the group implementation of the resettlement and production & living development measures

1. House compensation 1. The compensation for house demolition shall 2. Relocation costs be provided as per relevant documents. 3. Free use of building 2. The relocation costs and transitional Peasant materials of old allowance shall include income losses and household houses property losses caused by the relocation. 3. The building materials left during old houses Houses demolition can be used for free. relocation 1. The rights regarding the house demolition above and top Vulnerable priority group 2. Provision of labor and transportation for the relocation

Table 11-2 Power matrix for the land acquisition, house demolition and resettlement compensation of Science & Education Pioneer Park Project (continued 1)

Compensation or Affected Category resettlement Compensation standard person measures

1) The principle 1) The resettlement of commercial houses shall be of “new houses implemented based on the principle of “new being built houses being built accordingly after the old ones accordingly have been removed”. after the old 2) The compensation for all the business losses due ones have been to the demolition, including relocation costs, removed” expenses for equipment storage and rent, shall 2) Transitional be appropriated. allowance and Commercial 3) The compensation for the economic losses Commercial relocation houses during business suspension, including the base shops expenses relocation salary for staff, shall be provided. 3) Compensation for economic loss of business suspension if the demolition is implemented before reconstruction.

1) Demolition by 1) The restoration of infrastructure (e.g. rural roads the and agricultural canals) shall be conducted construction directly by the construction party during the department construction; 2) Reconstruction 2) Funded by the Employer, professional teams Infrastructure Affected of original shall implement the relocation of infrastructure, relocation infrastructure infrastructure such as communication facilities and electrical by its owner power facilities; and the compensation for some with the public infrastructure as drinking water tower and compensation lighting lines shall be appropriated to the provided by affected parties by the Employer and then the the Employer affected parties can perform the self- reconstruction.

Temporary Village 1) Operating 1) It is required to apply for land use permit to the land collectives or procedures local county-level Land and Resources villagers Department and register so as to obtain the 2 Crops permission of land user; compensation 2) The compensation standard is based on the 3) Compensation income losses caused by the land acquisition. for temporary The compensation for temporary land use shall land use be calculated with the average annual output 4) Complete value multiplying by the service life by the

restoration of construction party, and then be appropriated to the land before the land owner. returning to its 3/4) The reclamation security deposits shall be paid owner and then returned after restoration upon the completion of temporary land use. Alternatively, the reclamation can be conducted by the local village with the security deposits mortgaged. And the reclamation shall be supervised and approved by the local Land and Resources Management Department.

Chapter 12 Attachment 12.1 Attachment 1 Housing area list for the households affected by house demolition Schedule 1 Housing area list for the households affected by house demolition Earth- Brick-concrete Brick-wood Simple Communit Head of Total wood structure structure structure y household population structure (m2) (m2) (m2) (m2) Xinglong Liu Hongze 1 318.57 182.9 0 Community Xinglong Wu Gong 1 119.12 11.19 Community Xinglong Zhao Jing 1 0 120.84 0 Community Xinglong Liu Houlu 2 415.04 8.96 Community Xinglong Zhao Xingyun 2 206.07 6.75 Community Xinglong Chen Lin 3 967.6 0 Community Xinglong Wang Jigang 1 394.46 0 Community Xinglong Wang 1 487.6 0 Community Hongzhou Xinglong Wang Bo 1 731.6 0 Community Xinglong Jiang Kaiwen 3 459.24 0 Community Xinglong Zhong 1 213.86 0 Community Chunming Xinglong Wang Gaorong 3 335.4 0 Community Xinglong Zhou 3 237.09 0 Community Guangzhen Xinglong Qiu Shengjie 2 471.19 0 Community Xinglong Wang Lin 1 419.4 0 Community Xinglong Chen Xin 3 237.7 37.15 0 Community Xinglong He Wei 3 141.72 7.04 Community Data Source: House Demolition Office of Pioneer Park Sub-district Office

(Continued) Earth- Brick-concrete Brick-wood Simple Head of Total wood Community structure structure structure household population structure (m2) (m2) (m2) (m2) Xinglong Li Hongbo 3 271.27 0 Community Xinglong Wang Sufen 2 238.35 0 Community Xinglong Zhang Xiaodong 1 203 0 Community Xinglong Huang Huixiang 2 739.13 0 Community Xinglong Huang Yuqiang 1 561.92 0 Community Xinglong Yang Kun 1 245.83 19.425 0 Community Xinglong Liu Shuhua 3 352.72 37.94 Community Xinglong Zhao Yan 2 188.16 0 Community Xinglong Ye Yinhua 4 143.74 121.59 0 Community Xinglong Tang Jie 3 182.04 6.6 Community Xinglong Liu Qikai 5 389.88 48.5 46.06 Community Xinglong Chen Qingchun 3 421.88 95.14 Community Xinglong Yang Guanglian 2 434.75 78 0 Community Xinglong Zuo Tianxiu 2 244.29 0 Community Xinglong Zhao Xinghua 3 240.12 7.22 Community Xinglong Song Jun 3 312.09 13.88 0 Community Xinglong Liu Beibei 1 287.89 4.9 0 Community Xinglong Yang Shiwen 2 169.25 0 Community Xinglong Zhang Qionghua 1 277.98 0 Community Xinglong Zhou Xiao 1 0 0 Community Xinglong Liu Qiying 2 0 168.32 0 Community Xinglong Huang 3 736.91 0 Community Mingquan Xinglong Liu Cheng 1 19.73 22.09 0 Community Xinglong Yao Anhua 3 230.63 0 Community

Xinglong Zuo Tianwen 3 319.15 0 Community Xinglong Zhao Xinggui 1 219.36 61.88 Community Xinglong Liu Shubao 4 138.52 31.9 0 Community Xinglong Liu Shuyun 3 0 143.48 9.45 Community Xinglong Luo Xiang 4 0 117.88 0 Community Xinglong Liu Qigang 3 217.24 38.5 0 Community Xinglong Xu Jie 1 291.06 0 Community Data Source: House Demolition Office of Pioneer Park Sub-district Office

(Continued) Brick- Earth- Brick-concrete Simple Head of Total wood wood Community structure structure household population structure structure (m2) (m2) (m2) (m2) Xinglong Wang Zhaomo 3 291.06 0 Community Xinglong Xu Xiang 1 291.06 0 Community Xinglong Ning Hong 1 303.25 0 Community Xinglong Shen Junling 2 314.42 0 Community Xinglong Fan Bo 4 0 106.56 0 Community Xinglong Xie Guangxiu 3 293.45 70.3 0 Community Xinglong Chen Yaxiong 3 260.1 0 Community Xinglong Xie Guangzhi 2 0 53.04 0 Community Xinglong Wang Dongmei 1 254.11 0 Community Xinglong Liu Qihui 3 216.14 0 Community Xinglong Liu Qixin 2 0 75.16 0 Community Xinglong Chen Jianping 3 176.38 0 Community Xinglong Chen Jianhong 2 69.77 70 0 Community Xinglong Zheng Fu 3 190.01 0 Community Xinglong Xie Hua 3 178.39 0 Community Xinglong Du Hang 1 257.28 0 Community Xinglong Xie Guangyi 2 0 73.13 18.2 0 Community Xinglong Xie Guangjun 3 0 93.38 21.34 0 Community Xinglong Wang Liming 1 430.63 0 Community Xinglong Xie Jun 3 356.4 0 Community Xinglong Xie Hongyong 2 45.61 73.96 0 Community Xinglong Xie Xianwu 4 0 255.6 0 Community Xinglong Wu Yapeng 1 319.4 0 Community Xinglong Xiao Hong 1 328.43 0 Community

Xinglong Wang Hao 1 394.46 0 Community Xinglong Chen Cai 1 0 0 Community Xinglong Xu Peng 2 291.06 0 Community Xinglong Liao Yue 1 460.2 0 Community Xinglong Zhang Hao 1 221.23 0 Community Xinglong Xie Mingzhong 3 0 265.05 0 Community Xinglong Xie Hui 3 205.4 0 Community Xinglong Chen Guizhen 1 0 32.68 0 Community Xinglong Liu Jiaying 1 0 49.41 0 Community Xinglong Liu Guangxing 2 0 130.1 65.96 0 Community Xinglong Xie Jingcai 1 382.79 0 Community Xinglong Sun Wenwei 1 115.08 34.05 Community Xinglong Tang Chengui 1 231.37 0 Community Data Source: House Demolition Office of Pioneer Park Sub-district Office

12.2 Attachment 2 List for attachments of households affected by house demolition Schedule 2 List for attachments of households affected by house demolition V H ( M ( M ( C ( s m T ( F ( W ( P ( H ( S ( L ( W ( G ( S ( M ( E ( C N m m m m N N N N N N m N m m m a t w e i h a a e e i e e r i n g o e a o a a l r r r r r n r r r x m r r 2 2 2 2 u 3 2 2 2 a r a a l e t s n n d r ) ) ) ) ) ) ) ) . . t . . . l . . ) a a t c t e h r d n n e ) ) ) ) ) ) ) t l e t u e h u e g e

s y m t t a a r d a c

n r h h

o r e w

r u p f n r r i e j e t f i i e c y y a p o e n

r l t o b g h t t s l a o

a f o t f r t l

p t u a i e n e a g o s o c s n s k r h r

e l n p h d d o a

h d p i i y u t n o o ,

n d d l

d g i m

r b o e y u

n a t n d h d e

Xinglong Liu Hongze 1 2.52 105 26.37 1 2 1 1 8 1 Community Xinglong Wu Gong 1 1.05 5 1 2 1 Community Xinglong Zhao Jing 185.22 68 Community Xinglong Liu Houlu 1 150.56 140.41 1 1 4 6 58.12 Community Xinglong Zhao Xingyun 1 1 3 1 1 3 1 2 109.48 Community Xinglong Chen Lin 51 214 1 9 8 185.84 Community Data Source: House Demolition Office of Pioneer Park Sub-district Office

(Continued) V H ( M ( M ( g C ( l t T ( F ( W ( P ( H ( S ( L ( W ( G ( S ( M ( E ( C i N m m m h m N N N N N N m N m m m r m t w e i a a h e i e e e r e g o e o a o l a a r r r n r r r r r m u r r 2 2 2 2 3 2 2 2 a r a a l e t e s n r n u ) ) ) ) ) ) ) ) . . . . t . . . l ) a

c t a e h r n d n e ) ) ) ) ) ) ) t l e t e h e u n g e a s y m m t t a a d r a c

o e r d n w r

u p f n r r i i j t e f i i d e y c x y a p o e n e s

r l t b g t s t s u l a o i i

a a o f t

r t u a i e n n a o s g e o s n d k h r

r e n p

o h h d p i o u t o r o f

n l e n d

d s d c h l

i a n b y g y , Xinglong Wang Jigang 1 4 2 90.78 Community Xinglong Wang Hongzhou 11.85 98 7 6 Community Xinglong Wang Bo 1 198.4 1 1 2 4 2 172.4 Community Xinglong Jiang Kaiwen 1 3.45 32.4 2 1 3 5 Community Xinglong Zhong Chunming 2.68 15.66 36 1 6.45 Community Xinglong Wang Gaorong 1.8 3 1 22.45 Community Xinglong Zhou Guangzhen 1 7.5 58.75 63.74 1 3 1 6.19 Community Xinglong Qiu Shengjie 21.25 116.43 2 2 1 49.52 Community Xinglong Wang Lin 7.5 67.9 10.9 2 1 3 1 123.68 Community Xinglong Chen Xin 86.95 92.26 3 2 Community Xinglong He Wei 1.5 41.21 34.5 1 1 Community Xinglong Li Hongbo 1 34 1 2 7.49 Community

Xinglong Wang Sufen 1 3.5 21.32 1 5 1 2 45.26 Community Xinglong Zhang Xiaodong 0.96 68.4 1 1 57.31 Community Xinglong Huang Huixiang 16.4 122.85 2 1 2 1 5 Community Xinglong Huang Yuqiang 1 64.5 4 4 Community Xinglong 53 Yang Kun 1 8.64 38.22 1 4 Community 4.6 Xinglong Liu Shuhua 23.81 66 105.6 1 2 3 2 5 1 233.75 Community Xinglong Zhao Yan 6.75 33.2 1 1 1 1 2 182.7 Community Xinglong Ye Yinhua 1 78.2 1 2 1 1 1 1 1 111.54 Community Data Source: House Demolition Office of Pioneer Park Sub-district Office

(Continued) V H ( M ( M ( g C ( l t T ( F ( W ( P ( H ( S ( L ( W ( G ( S ( M ( E ( C i N m m m h m N N N N N N m N m m m r m t w e i a a h e e i e r e e g o a o e o a a l r r r r r r n r r m u r r 2 2 2 2 3 2 2 2 a r a a l e e t s n n r u ) ) ) ) ) ) ) ) . t . . . l . . . ) a a c t e n e d h r n ) ) ) ) ) ) ) l t e

t e h u e n g e a y m s m t t a r d a a c

h h o r e d n w r p u f r n r i i j e t f i i d e c y x y a o p e n e s

r l t b g t s t s u l a o i i

a a o f t

r t u a i e n n a o s g e o s n d r h k

r e n p

o h d h p i o u t o r o f

n l e n d

s d d c h l

i a n b y g y , Xinglong Tang Jie 7.87 55.5 79.56 1 4 2 4.94 Community Xinglong Liu Qikai 1 145.29 45 1 3 1 2 2 2 343.26 Community Xinglong Chen Qingchun 1 12.69 24.35 2 1 2 2 285.55 Community Xinglong Yang Guanglian 7.02 171.65 141.51 2 8 6 412.84 Community Xinglong Zuo Tianxiu 1 1 3 1 1 83.39 Community Xinglong Zhao Xinghua 7.56 83.6 101.2 1 1 2 199.65 Community Xinglong Song Jun 1 34.56 41.9 2 2 8 2 25.88 Community Xinglong Liu Beibei 1 11.5 138.14 33.89 1 6 1 75.77 Community Xinglong Yang Shiwen 1.15 63.24 31.19 1 1 1 7 2 49.3 Community Xinglong Zhang Qionghua 1 1 1 1 Community Xinglong Zhou Xiao 6 Community Xinglong Liu Qiying Community

Xinglong Huang Mingquan 3.24 1 3 11.94 Community Xinglong Liu Cheng 1 1 Community Xinglong Yao Anhua 3.27 57.6 1 2 2 1 192.03 Community Xinglong Zuo Tianwen 1 41.84 1 2 2 1 1 99.54 Community Xinglong Zhao Xinggui 4.29 66 37.92 1 5 1 38.43 Community Xinglong Liu Shubao 6.04 79.2 1 2 1 1 2 1 84.99 Community Xinglong Liu Shuyun 5.67 69.04 1 1 1 1 1 56.75 Community Xinglong Luo Xiang 1 69.3 193.45 1 1 1 5.43 Community Xinglong Liu Qigang 1 45 1 2 1 1 2 1 174.8 Community Data Source: House Demolition Office of Pioneer Park Sub-district Office

(Continued) V H ( M ( M ( g C ( c b T ( F ( W ( P ( H ( S ( L ( W ( G ( S ( M ( E ( C N m m m m N N N N N N m N m m m l r y t w e i h a a a e i e e r e g o a e o o l a a r r n r r r r r r r r 2 2 m 2 2 u 3 2 2 2 a y r a a

l e t s n n r u ) ) ) ) ) ) ) ) . . . t . . . . l ) a a c t t e r d h , n n e ) ) ) ) ) ) ) t l e t e h

h u n e g e s y m t t l a a a r d c

n i h h

o e r e d w r u p f m r n r i j e t f i i

e c y y a p o n e e s

m e h d

r l t b g t t s

i i a t a i o t f t l p t u h x

a i e n n a o s o t s r n g d k r h

u e n e p r d d

h r s s d p o i h e a t o u o

n n n d o d d d g f

Xinglong Xu Jie 1 40.57 143.28 Community Xinglong Wang Zhaomo 1 62.37 2 64.59 Community Xinglong Xu Xiang 1 67.32 2 2 64.62 Community Xinglong Ning Hong 1 40.56 1 2 2 80.3 Community Xinglong Shen Junling 5.4 93.5 1 7 5 104.4 Community Xinglong Fan Bo 5.04 Community Xinglong Xie Guangxiu 2 6.75 135.35 1 9 4 2 2 20.16 2 82.25 Community Xinglong Chen Yaxiong 1 4.8 68.44 6 2 1 3 3 Community Xinglong Xie Guangzhi 1 5 2 1 Community Xinglong Wang Dongmei 1 35.7 79 2 5 4 Community Xinglong Liu Qihui 1 96.8 1 2 3 1 1 11.38 Community Xinglong Liu Qixin 1 110.7 1 1 2 Community Xinglong Chen Jianping 1 108.6 1 4 1 1 1 1 3 Community Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. 112 World Bank Financed Projects World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

Xinglong Chen Jianhong 103.84 1 1 1 2 2 Community Xinglong Zheng Fu 3.25 102.22 2 8 1 1 1 Community Xinglong Xie Hua 6.75 188.76 2 2 2 Community Xinglong Du Hang 1 129.4 58.65 1 5 2 Community Xinglong Xie Guangyi 13.91 45.5 2 4 2 3 Community Xinglong Xie Guangjun 1 5.52 58 6 2 1 1 Community Xinglong Wang Liming 4.5 86 1 1 Community Data Source: House Demolition Office of Pioneer Park Sub-district Office

(Continued) V H ( M ( M ( g C ( c b T ( F ( W ( P ( H ( S ( L ( W ( G ( S ( M ( E ( C N m m m m N N N N N N m N m m m l r y t w e i a a h i e a e e e r g o e a o o a l a r r r r n r r r r 2 2 2 2 u 3 2 2 r 2 r m a y r a a l e

t s n r n u ) ) ) ) ) ) ) ) . . . l ) . t . . . a c t a e h n e d , r n ) ) ) ) ) ) ) l t t e t e h

u n e g e

y s m h t t a l a d r a c

i h h o e r d w e r p u f n m r r i j e t f i i e y c y o a p e n e s

r t l b m g t

i i a a o t f t l p t u i a i t e n n a

o x s o h s n d k r h

t e n r g p d u d

h e d s p r i r a t s o o o e

h n l u n d i d n n d o d g f

Xinglong Xie Jun 1 129.99 3 2 1 1 Community Xinglong Xie Hongyong 1 2 2 1 Community Xinglong Xie Xianwu 1 5.1 106.58 8 2 1 1 Community Xinglong Wu Yapeng 9 50.16 1 7 Community Xinglong Xiao Hong 9 43.7 6 3 Community Xinglong Wang Hao 1 24 224.25 1 4 2 90.78 Community Xinglong Chen Cai 199.92 6 Community Xinglong Xu peng 1 67.32 2 2 64.67 Community Xinglong Liao Yue 6.34 125.1 1 4 3 Community Xinglong Zhang Hao 51.36 2 1 Community Xinglong Xie 13.6 1 104.16 6.08 1 10 1 1 2 1 Community Mingzhong 6 Xinglong Xie Hui 8.86 98.59 76.5 1 2 1 Community Mianyang Science and Technology City Development and Investment (Group) Co., Ltd. 114 World Bank Financed Projects World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

Xinglong Chen Guizhen Community Xinglong Liu Jiaying 21.65 Community Xinglong Liu Guangxing 1 170.11 1 2 2 2 1 Community Xinglong Xie Jingcai 1 176 1 3 2 2 Community Xinglong Sun Wenwei 6.75 1 2 1 Community Xinglong Tang Chengui 1 4.65 36.26 2 6 2 1 1 Community Data Source: House Demolition Office of Pioneer Park Sub-district Office

12.3 Attachment 3 MFH [2008] No. 105 Notice of Mianyang Municipal People’s Government on Printing and Issuing Compensation Standard for Ground Attachments and Crops on Land Acquisitioned (MFH [2008] No. 105) Management Committee of Mianyang Science and Technology City, People's Governments at all levels of county, city and district, Management Committee of each park, Science City Office and relevant city-level departments: Notice is hereby given that the Compensation Standard for Ground Attachment and Crops on Land Acquisitioned in Mianyang City has been approved by the People's Government of Sichuan Province and now is printed and issued. Any land acquisition approved by related authorities after Mar. 10th, 2008 shall be implemented as per the Standard. The compensation for resettlement shall be done properly based on the principle of ensuring that the original living standard of farmers with land occupied shall not be lowered and their long-term livelihoods shall be guaranteed during the implementation of land acquisition.

Attachments: 1. Compensation standard for each building (structure) demolition of several counties (cities) in Mianyang City (omitted) 2. Compensation standard for forests, fruit trees and flowers & plants of each district and county (city) in Mianyang City (omitted)

April 15th, 2008

Subject terms: Land and Resources Compensation for land acquisition Standard Notice Copy to Municipal Committee Office, Standing Committee Office of the Municipal People Congress and Municipal Political Consultative Conference Office

Compensation standards for each building demolition of Science & Education Pioneer Park Project

Compensation S/N Description Unit of measurement standard (yuan) Brick-concrete buildings with 1 m2 350 more than three storeys 2 m2 (building) 320 Brick-concrete house with two 3 and less storeys m2 (bungalow) 300 Bungalow covered with 4 m2 270 Chinese-style tile and firebrick 5 Column-and-tie wood structure m2 230 6 Tile-roofed house with mud wall m2 190 7 Thatched cottage with brick wall m2 180 8 Thatched cottage with mud wall m2 160 9 Asbestos tile house (felt house) m2 150 Vegetable Bamboo frame m2 1-3 shed Steel frame m2 5-7 Temporar 10 Shed Red brickwall m2 y shed Other m2 sheds

Compensation standards for attachments of Science & Education Pioneer Park Project S/N Description Unit of measurement Compensation standard 1 Lime kiln, brick and tile kiln m3 60 2 Pool (fixed) m3 35 3 Veneered pool (fixed) m3 50 Biogas digester (Tank generating Nr. 600 methane) 4 Biogas digester (Tank not generating Nr. 300 methane) 5 Brick manure pit m3 12 6 Mortared manure pit m3 10 Cement threshing ground (including 7 m2 18 brick and stone threshing ground) Threshing ground by the mixture of 8 m2 12 clay, lime and sand 9 Brick enclosing wall m2 12 10 Earth-stone enclosing wall m2 8 11 Water jar Nr. 50 12 Pigsty Nr. 180 One door for one hearth 120 13 Hearth with chimney Two and more doors for one 150 hearth One door for one hearth 100 14 Hearth without chimney Two and more doors for one 120 hearth 15 Hand pumped well Nr. 200 16 Machine pumped well Nr. 300 17 Stone well Nr. 500 Washing table (including cement board 18 Nr. 30 and other counters) 19 Wall cupboard Nr 35 20 Granary m3 20 21 Sweet potato pit Nr. 60 22 Brick-stone structure tomb Nr. 300 23 Flat tomb Nr. 200 24 Mortared fish pond m3 8 Brick-stone fish pond partially built 25 with cement or mixture of lime, clay m3 7 and sand 26 Earth fish pond m3 3 27 Water tower m3 350 28 Brick flower bed m3 30 29 Fort m3 20 30 Ceramic tile m2 11 31 Floor tile m2 25 32 Concrete pole Nr. 60 33 Wood pole Nr. 30 34 Small reservoir m3 1-2 35 Water pipe m 4-6 36 Drought-resistant well Nr. 3000-5000 37 Fine decoration of house m2 Compensate properly after depreciation based

on the serviced time

Compensation standards for forests, fruit trees and flowers & plants of Science & Education Pioneer Park Project Compensation Unit of S/N Species Category Specification standard measurement (yuan) No more than 1 Nr. 2.5 Seedling m above ground mu 900 level Apple, More than 1 m Nr. 6 pear, above ground Young tree peach, level, without mu 1500 plum, fruit apricot, Small-sized Nr. 20 cherry, Initial yielding tree mu 3000 orange, Medium-sized Medium Nr. 60 etc. tree yielding mu 4000 Large-sized Nr. 100 Peak yielding tree mu 5000 Diameter at Nr. 1.5 Fruits Seedling breast height mu 1500 less than 1 cm Initial yielding Nr. 20 period (diameter Economic at breast height mu 3000 1 trees being 1 – 2 cm) Medium Nr. 40 Grape yielding period Trees with (diameter at fruits mu 4000 breast height being 2 – 5 cm) Peaking yielding Nr. 60 period (diameter at breast height mu 6000 above 5 cm) No more than 1 Nr. 1.2 Seedling m above ground mu 1200 level Nr. 2 Initial yielding Mulberry mu 1700 Mulberry with Medium Nr. 3 mulberry yielding mu 2200 leaves Nr. 5 Peak yielding mu 3500 Pine, cedar, Sparsely Trunk diameter cypress scattered Young tree at breast height Nr. 1 trees less than 2 cm Trunk diameter Small-sized at breast height Nr. 5 tree 2-5 cm Trunk diameter Medium-sized at breast height Nr. 20 tree 6-15 cm Large-sized Trunk diameter Nr. 40 Mianyang Science and Technology City Development and World Bank Financed Projects 120 Investment (Group) Co., Ltd. World Bank Financed SUDP Mianyang Sub-project Remaining Loan Adjustment-Roads & Supporting Infrastructure Construction in the Cluster Zone of Relocated Industries Through Post-disaster Reconstruction in Xinglong Area of Science & Education Pioneer Park of Mianyang Science and Technology City

at breast height tree above 16 cm 500 yuan/mu for natural forest mu and 1000 yuan/mu for Toona Forest of Immature forest above 350 m2 planted forest sinensis, vast area 800 yuan/mu for etc. natural forest mu and 1600 yuan/mu for Mature forest above 350 m2 planted forest 0.5 - 1 m above Young tree Nr. 1 ground level More than 1 m above ground Small-sized level, Nr. 3 tree trunk diameter at breast height less than 5 cm Unspecified More than 2 m 2 trees above ground Medium-sized level, Nr. 20 tree trunk diameter at breast height Other Sparsely 5-16 cm unspecified scattered More than 3 m trees trees above ground Large-sized level, with trunk Nr. 30 tree diameter at breast height above 16 cm 300 yuan/mu for Forest of vast natural forest mu area Immature forest and 450 yuan/mu above 350 m2 for planted forest 500 yuan/mu for Mature forest natural forest mu above 350 m2 and 750 yuan/mu for planted forest Priced as per the 3 Bamboo kg 0.4 mass Woody flowers and Scattered Nr. 1-30 plants planting 4 Flowers and plants Planting in vast Flowers and plants area larger than mu 2000-5000 of vast area 15 m2

Crops compensation standard of Science & Education Pioneer Park Project S/N Category Unit of measurement Standard (yuan) Paddy field 1300 1 Cultivated land Dry land 1200 Paddy field 2000 2 Vegetable field Dry land 1800 3 Radix Ophiopogonis Paddy field 3000 Note: the crops compensation shall be appropriated properly based on the actual quantity of crops planted in the land requisitioned; the compensation for crops in the cultivated field shall be calculated as per the annual standard of 60% for the great spring and 40% for the slight spring; for the crops in the vegetable field, the compensation shall be calculated as per 50% respectively for the first half and second half of the year; and the compensation for Radix Ophiopogonis can be computed on a year-round basis.

Mianyang Science and Technology City Development and World Bank Financed Projects 122 Investment (Group) Co., Ltd.